TTK Prestige Ltd (NSE: TTKPRESTIG) Q1 2026 Earnings Call dated Jul. 28, 2025
Corporate Participants:
Unidentified Speaker
Saranyan Rajagopalan — Wholetime Director And Chief Financial Officer
Mr.Venkatesh Vijayaraghavan — Managing Director & Chief Executive Officer
Analysts:
Unidentified Participant
Yash Jain — Analyst
Aniruddha Joshi — Analyst
Lokesh Maru — Analyst
Sameer Gupta — Analyst
ViShal Dudhwala — Analyst
Natasha Jain — Analyst
Reshma Mehta — Analyst
Presentation:
operator
It. It. It. It. It. Ladies and gentlemen, good day and welcome to the TTK Prestige Limited Q1 and FY26 earnings conference call. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Start then zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Yash Jain from Ambit Capital. Thank you. And over to you sir.
Yash Jain — Analyst
Thank you. Hello everyone. Welcome to ttgate SG’s 1Q FY26 earnings call. From the management side today we have Mr. Venkatesh, Vijay, Rawan’s managing director and CEO Mr. Shankaran, advisor to the board and Mr. Taranyan Rankopali, the full time director and CFO. Thank you. And over to you sir for your opening remarks.
Saranyan Rajagopalan — Wholetime Director And Chief Financial Officer
Yeah, very good evening everyone. Thanks for joining the call today. Before I hand over the proceeding to my managing to our managing director Mr. Venkatesh, I just want to remind the participants about the Safe harbor class. The discussion today may contain certain statements which are futuristic in nature. Such statements represent the intentions of the management and efforts being put in by them to release certain goals. The success in realizing these goals depends on various factors, both internal and external. Therefore the investors are requested to make their own independent judgments by considering all relevant factors before taking any investment decision.
Over to you Ritesh.
Mr.Venkatesh Vijayaraghavan — Managing Director & Chief Executive Officer
Good afternoon. Good evening. Before I get on to the specifics, I think a view of what’s happening overall business and across from an economy perspective. If you had to look at, I think this quarter or the last few quarters have been a little challenging where economic growth across the geographies have been sort of muted. A lot of uncertainties around inter geographical tariffs and other areas that have been in play for the last few weeks or so. Overall there seems to be a very muted growth across the globe in terms of some of the key geographies and the key markets.
Also adding to this and having linkages to our business as well as to our country overall there have been issues around the global supply disruption that have happened due to some of these macro conflicts that are happening across geographies in this scenario. If you were to look at our view, I think has been very positive about India in overall one which we believe is continuing to be at a robust 6% GDP growth and continues to be among the fastest growing economies as well. Having said that, there have been business related disruptions due to this global Uncertainty, particularly in the space of supply chain, in spaces of shortages around containers.
For some of our businesses, both exports as well as for some of the imports of our input raw materials as well. I think this continues to be a challenge and that is something that we would watch out for as we move forward. So a robust economy and we believe that would sort of reflect as we move forward in the specific category growth and the industry growth as well, specific to the company. The quarter has seen a lot of growth specifically on our channels across general trade, E Commerce, modern trade. And we’ve seen robust growth led by E Commerce, followed by the general trade.
As in the past, we said we had a little bit of challenges around the MFI driven rural market. That continues to be a challenge from the last year. And there is no sign of revival as we speak from that particular channel. However, the rest of the businesses, the rest of the channels seem to be on track, giving us a good growth, particularly with E Commerce leading the pack. And we see a slightly renewed positive trend in the general trade as well. From a pricing perspective, opportunity is opening up at the lower end of the market.
A lot more competition evolving with new players coming in. And there have been pressures on the pricing as well. But as a company, we believe that we are operating in the right space of premiumization route and we continue to be able to increase our value growth through premiumization as a central anchor strategy. There have been relatively easing off the input material prices, but we do believe that given the current volatility around the geographies and the global scenario, input prices will continue to be under pressure as we move forward. And that is something that we are factoring in as we move forward in terms of our approach to the market as well.
Exports have been encouraging, but we do believe that there have been a little bit of overhang because of the uncertainty around tariffs surrounding the US Market and a couple of other markets. And therefore, while there have been sort of offshoots, green offshoots in terms of business growth, we are seeing sort of slowdown in terms of fulfilling orders as a combination of uncertainty and also as a combination of disruptions that I earlier sort of highlighted. So overall, the quarter in our view seems to be in the right direction as we set it out to be. With robust growth coming in from the key channels of general trade, E Commerce, large format stores.
The challenges around MFI continue to be there, but we do believe that that is sort of play out as we move forward in the coming quarters. The overall numbers, we’ve shared it in the GIST and I probably wouldn’t want to go back to the specific numbers again, but our domestic sales is now registering a growth of 4.7% year on year on a like to like basis. From the quarter perspective in terms of operating margin, our operating EBITDA seems to be moving in the right direction. We are, as we have highlighted earlier, making substantial investments into strategic initiatives which are futuristic in nature, both in terms of capability building, in terms of investment into specific parts of the market, and also in terms of building the teams as well.
And that is what you will see reflecting also in some amount of the EBITDA changes that we have projected for the quarter. As we had mentioned before, this is a transition phase in which we would like to continue to keep invested upon and grow the top line as well as our cost efficiencies as we move forward. We have had a very specific trust around our Prestige Exclusive store. The channel seems to be doing very well. It is helping us in the premiumization strategy and we are now ramping up our expansion of prestige exclusive stores as we go forward for the next set of quarters.
The other initiative that we’ve been focused upon and yielding us good results is the Judge Brand. The Judge brand host is repositioning in the market continues to grow well and add to both our top line as well as to our efficiencies in terms of managing the distribution chain. So overall I think we would see this quarter where we’ve sort of seen a resurgence in the general trade market. We do believe that we are doing a good job in that channel. We continue to be robustly growing in the E Commerce channel in strong double digits and we are now able to sort of consolidate and move forward on the Judge brand as well.
Additionally adding to the current strength that we have in our Prestige exclusive outlets, We’ve introduced around 38 new SKUs during this quarter across all categories. We have been able to successfully sort of look at the entire cookware range, the Kukar range, and some of the small domestic appliance range. Over the last few quarters we’ve substantially increased our presence in terms of both quantum of SKUs as well as the portfolio that needs to be sort of arrived at as we speak today. I think we’ve sort of ramped up a portfolio across all the new products and specifically small domestic appliances cookware also in terms of being able to bring in new category growth across with ad fryers as well.
So overall we seem to be in a comfortable space and we do believe that we’re doing the right things that would sort of help us leapfrog as we move forward. The commodity prices have been stable during the quarter and like I mentioned, probably there would be a little bit of pressure as we move forward which we do believe we will be able to mitigate through internal efficiencies as we move forward. So that’s the overall story that I would say specific to the domestic market and we continue to be invested upon, like I mentioned, in terms of capability building, capacity expansion as well as in terms of go to market investments that could help us sort of enhance our market shares as well.
So that’s the broad summary that I would like to leave the group with and open to questions.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press Star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use answers while asking a question. Ladies and gentlemen, we’ll wait for a moment while the question queue assembles. The first question is from the line of Anirudh Joshi from ICICI Securities. Please proceed.
Aniruddha Joshi
Yeah, thanks for the opportunity. So in the presentation we have written that MFI channel continues to be face the challenges. But I guess we have already discontinued this challenge channel almost four to five quarters ago. So do we still generate any sales from this? And what is the revenue percentage share from MFI channel for us in this quarter versus last year June quarter? That is question number one. In terms of question number two, sir, we have seen that that the E commerce business has done relatively better. But if you can also indicate about the strategy for quick commerce for us and what will be revenue salience of E Commerce, General trade, mfi, CSD and. Quick commerce all the five channels. Yeah, thanks.
Saranyan Rajagopalan
Right, I’ll just take the first question. This is on the MFI channel. MFI channel. Yes, you are right. I think in the last four quarters itself, I think we have seen the numbers coming down. The number for July is sorry for the first quarter is much lower than the previous quarter. It’s not very safe for this Q1. It is not very significant. It is around 0.5% of the total sales whereas it was around 1 1.2% last year. So it is not very significant both in the last Q1 as well as this Q1. So that answers you want to add on E Commerce.
Mr.Venkatesh Vijayaraghavan
Yeah, so I think so. While I would not be at mercy to be sort of leveraged to be able to completely give you the contributions at different channels suffice to say that we have substantial contribution across all the channels. It’s not like one channel is dominant versus the other. Of course GeneralTrade has a Lion’s share. But I think we are uniquely placed that we have. We have a significant presence across E Commerce, across Large format stores and across Quick Commerce as well. Quick Commerce continues to be in a very hyper growth phase overall. I think for the industry Quick Commerce is probably around a 50% plus growth.
It continues to be in a hyper phase growth. It continues to lead the overall E commerce growth channel as well. And we are aggressively so I would leave you not with specific numbers but very clearly that we are dominantly present and our contribution of sales comes sort of spread, well spread between the three channels of E Commerce. Large format stores and Quick Commerce. Now building upon General trade of course continues to be a dominant portion of our overall contribution of sales. The MFA channel. We do believe that with this quarter more or less is gone.
There would have been a little bit of an impact of the MFI channel in this quarter’s reporting. But I think from last Q2 onwards we sort of negated that and we don’t foresee that channel to be dominant as we move forward.
Aniruddha Joshi
Okay, sure, sir. So just one more question now with the new changing strategy, whether the company is also investing in hiring of senior management people and what will be the key hire done till now? If you can elaborate on that front. Yeah, thanks.
Mr.Venkatesh Vijayaraghavan
No, I think with the last one one and a half years more or less, the senior management is sort of been transitioned from the old guard to the new guard. And in this process we’ve also sort of strengthened each functions. Well, I don’t want to put a number to it. At this point of time almost all the senior functions have been staffed really well. At this point of time. We are also bolstering the support systems where required in terms of people as well as in terms of technology as well. So I think we are now fairly constant now in terms of some of the leadership positions.
We are currently having all the leadership positions filled as we speak.
Aniruddha Joshi
Okay, sure sir. That’s helpful. Thank you.
operator
Thank you. Ladies and gentlemen. In order to ensure that the management is able to address questions from all participants in the conference, please limit your questions to two per participant. The next question is from the line of Lokesh Maru from Nippon. Please proceed.
Lokesh Maru
Hi, thanks for giving the opportunity. Few questions from my side first one would be for. In the presentation we have mentioned that general trade and exclusive stores had an average growth of around 6%. Right. And then modern format and E commerce together registered double digit growth. So the confusion remains that on an average its MFI channel is just 1% today or less than 1% today. And had been the same had been shown like 1.5% like you mentioned same time last year the average growth looking at this statement comes out at least around 9, 10%. So what. What am I missing in this? 5, 6%
Mr.Venkatesh Vijayaraghavan
Like I mentioned last year. Q1 we had a substantial portion of MFI. From Q2 onwards it started receding down. So this would be the last quarter. See this impact.
Lokesh Maru
Perfect. Exactly. Wanted to understand that. So this is the last quarter.
Mr.Venkatesh Vijayaraghavan
Of that. This would be the last quarter you. See that impact
Lokesh Maru
until last year. If I’m not wrong, this would be around 7,8% odd. Right. Of the overall sales
Mr.Venkatesh Vijayaraghavan
before that. 7,8%. You are right. You are right.
Lokesh Maru
Okay. Perfect, Perfect. Thank you. Second question is last, last quarter we had mentioned in our ppt that new SKUs would be 118. 118 right. For Q1. So what we have launched this time is 38 as highlighted in PPT again. So anything we are missing any. Any rollovers that we’ll see in Q2? A substantial amount, is it?
Mr.Venkatesh Vijayaraghavan
No. So two things. One, of course there is a last year, like I said we. We were on a rampage to get the portfolio gaps completely addressed. We are sort of now consolidating that and focusing on getting some of the NPDs of last year also to scale up. So you will see a steady flow of NPDs as we move forward. We are now sort of consolidating some of the NPDs so that we don’t miss out in terms of growth from the portfolio as well. So that’s the. So I’m assuming you’re referring to the last year’s number last year. Okay, your point was last time we had indicated 119 SKUs will be launched launched in Q1. You are right. But we had as part of the conscious decisions we have decided to differ some to the subsequent quarters. We didn’t want to plug the market with too many SKUs. There is based on the ongoing discussions we are having. That’s why you see a lower number that got launched in Q1 versus what has been projected before. But you will see some of those coming up in the subsequent subsequent quarters.
Lokesh Maru
Yeah, it is quite evident that even this number of 38 is quite an accelerated number compared to what we had last three years. So good to see that again. So the last question from my side is gross margin has been Quite high at this time, right. 44 if on a steady state annual basis. If you could guide if you know 40 to 43% any rough cut number that you have in mind that one should you know pen down as an assumption on gross margin.
Saranyan Rajagopalan
It’s very difficult to give you any guidance on the gross margin. That primarily depends on how the commodity prices goes up and down. This quarter we had the commodity price was little stable. So that’s why we had seen that I think we will not be able to give you but it should be around this number. It should not go far away because if there is any increase in the gross margin we will definitely go for any price increase as well as appropriate.
Lokesh Maru
Sure sir. Also lastly, good to see that our econ sales are going well but gross margin is holding up. So that’s all from my side. Thanks.
Saranyan Rajagopalan
Thank you.
operator
Thank you. The next question is from the line of Samir Gupta from India Infoline. Please proceed.
Sameer Gupta
Hi everyone. Good evening and thanks for taking my question. Most of them have been answered just one on the EBITDA margin front. So I mean you’ve mentioned that gross margins expected to be more or less in this range. Plus this quarter also includes around 18 crore expenses which is attributable to the ongoing efforts. And sequentially in terms of sales this is the weakest quarter. So would it be a fair assumption then that 8.6% EBITDA margin on a standalone level this is the bottom of the margins and from here on we can expect it to inch up in subsequent quarters.
Saranyan Rajagopalan
Sameer, that depends on the. Because as we had mentioned before I think the next few quarters. We are also mentioned that in the gist we will be spending good amount of money on the futuristic nature for various synergies we are looking at to go to the next level so that impact will always be there for next few quarters. Post that I think once those exercises are done and then the actions are implemented we should start seeing the EBITDA going back to the original what used to be there before around 13 13% plus.
Sameer Gupta
That is fair sir. But if that’s 18 crore number that you have spent on these efforts is not going to increase further in an absolute basis if the sales goes up as in absolute terms and gross margin remains the same. Technically
Saranyan Rajagopalan
it should it should reflect that all depends on. That’s all depends on what are the we are committed to spend around 200 crores. That’s what we had mentioned when I say January this year. So that 200 crore spend will happen over the next three years. So how much what will be spent in each quarter? That depends on how the numbers look. But obviously if the sales goes up, ramps up, definitely the EBITDA margin will definitely improve.
Sameer Gupta
Thanks. Thanks a lot. So that’s all from me. I’ll come back in the queue for follow ups.
operator
Thank you. The next question is from the line of Visal from Asset Manager. Please proceed.
ViShal Dudhwala
Thank you for the opportunity. So I have a similar question on micro fan. So while weak rural demand continues on overall volume growth, are you seeing any structural shift in the demand more transition in premium SKUs across tier 1 and tier 2 cities?
Mr.Venkatesh Vijayaraghavan
So one of the very clear defining trends that we are seeing particularly in the large towns, the top, maybe the 50 towns to 70 towns, we are very clearly seeing that there is a marked movement towards slightly higher value products and therefore premiumization as a trend is very clearly visible in some of the big markets. So I think we are running a twin pronged strategy where there are certain geographies where we would play the mass pricing and therefore distribution expansion. While in some geographies very clearly there is a scope for premiumization and that’s playing out well.
So I would say the top 100 terms, probably the premiumization trend is quite visible by way of shifting to better material LED pricing and also in terms of aesthetics as well. So I think the the market very clearly is sort of seeing a little bit of a premiumization trends and this is also being facilitated by our own stores as well as we look at it. Okay, that’s it from budget.
ViShal Dudhwala
That question was answered already. Thank you.
operator
Thank you. The next question is from the line of Natasha Jain from Philips Capital. Please proceed.
Natasha Jain
Thank you for the opportunity and good evening gentlemen. I just have one question. So what I’ve observed in the past couple of quarters is a lot of regional players have taken in terms of getting very, very aggressive on marketing in terms of distributor engagement and that has kind of listed shares, listed players, market share. Because if I see the industry still growing at a mid to high single digit. So your annual report also mentioned, but there it was mentioned that on the lower price point is where the competition is. But when I go on the ground I also see a lot of premium players who are regional players not listed and they are doing very well especially on the distributor incentive and that is why probably the products are moving faster than your listed players.
So any comment on that? How do you see this competition mushrooming in the coming quarter? Thank you.
Mr.Venkatesh Vijayaraghavan
So you’re right. I think so. Like we said there is this premiumization Wave is also leading to specific geography led regional players sort of scaling up. I would say this is not unique to this category. This is something that you will see across categories, across industries where there have been a new set of players who have come in very aggressively good product at the end of the day don’t want to discount competition at any point of time. But I think there has been a very aggressive stand being taken at some point. Specific channel level, we are evaluating that on a specific case to case basis, geography by geography basis.
While we do believe long term it is not something that is sustainable for some of the players. They may be sort of working it out on different priorities. So to us I think it’s more important that we focus on our core and that’s what we’re doing today. By way of expanded distribution, by way of ensuring that we don’t lose our counter share in some of the big players, by way of ensuring that our portfolios are all complete today, minimizing some of our categories. So some of the internal actions that we have taken will ensure that we are able to hold versus some of these players.
The question is I think of sustainability over a period of time and of course some priorities of business that each player would work with. So to us at the end of the day it is a challenge and I think we are working the challenge from both the geography perspective and a channel perspective. We don’t see a concern in some of the specific areas around this because I think eventually this will play out. In our view, of course it adds to competitive intensity but that is something that every industry in the country today is going through by way of either DTC brands or by way of specific brands getting launched.
So I think our template is there to play against some of these competition. I would say that good competition raises the bar and that’s what we’re sort of working at. Suffice to say that we’ve been able to sort of hold our ground and improve performances in specific areas while there’s been pressure in this. But the pricing led market growth opportunity definitely is at the bottom end in my view.
Natasha Jain
Understood, sir. Thank you very much and all the very best.
Mr.Venkatesh Vijayaraghavan
Thank you.
operator
Thank you. The next question is from the line of Reshma Mehta from Green as well. Please proceed.
Reshma Mehta
Yeah, good evening. Thank you. So I have a couple of questions, you know, if the first is on the appliances. So if we see the growth in appliances category has been far more under pressure versus the other cookers and cookware category for us. So is there any specific reason here Maybe at an industry level or maybe specifically for us.
Mr.Venkatesh Vijayaraghavan
No, I think it is the appliance category. There has been a little bit of pressure in one or two subcategories, which is probably why the number looks a little subdued. I think it is more tactical and time bound in my view. We do believe that appliances continue to have a robust growth trajectory as we move forward. Specific quarter. There could have been a little bit of up and down that’s happening. But our sense is that the appliance categories will continue to grow in double digits as we move forward for the industry as a whole.
Reshma Mehta
Right. So my observation was pertaining to the last few quarters and not just, you know, maybe the Q1. So if I look at the last four, five odd quarters, it’s been a lot more under pressure.
Mr.Venkatesh Vijayaraghavan
No, that is very specific because of the quantum of. Quantum of the volumes that MFI Channel has on appliances, which is why you’re seeing that number very specific to us. If you had to look at it, if you had to have a look at outside of the MFI category, this seems to be robust, understood and used to run disproportionately on appliances as well.
Reshma Mehta
And in terms of demand, are you seeing any divergence between, let’s say the south and non South?
Mr.Venkatesh Vijayaraghavan
Not so much that we are looking at, of course, within geographies. There are some geographies which are sort of outpacing. So I think there are some geography specific bright spots that I would say south versus North. I wouldn’t sort of. There’s not much of discrimination that I could see in our categories per se, how the premiumization trend is much stronger in South.
Reshma Mehta
So, you know, premiumization. A couple of quarters back, you know, we had articulated this, you know, ambition to perhaps launch a premium brand. So where are we on that? Or is that still on the drawing board? Or is it something that we are not planning to, you know, go ahead with, considering that premiumization is a, you know, big trend going ahead.
Mr.Venkatesh Vijayaraghavan
Right now we are consolidating our efforts with prestige and judge and our efforts to sharply define the portfolios and move prestige up the ladder as well. An exclusive premium brand above prestige is not something that is in the. It is in the works, but not right now.
Reshma Mehta
Got it. And you know, as far as channels go, so, you know, C has CSV Channel has been under pressure for quite some time because of the cut down of the government subsidies and inventory rationalization. So do you think that these problems are kind of behind us and things have bottomed out there or are we not there yet as far as TSB. Channel goes,
Mr.Venkatesh Vijayaraghavan
we wouldn’t be able to hazard a guess. But our sense is I think we are still not out of the woods yet as far as this channel is concerned.
Reshma Mehta
So are inventory rationalization efforts still ongoing there? I mean overall for the channel?
Mr.Venkatesh Vijayaraghavan
Yes, yes. Industry level? Yes,
Reshma Mehta
got it. And the other part was, you know, you spoke about expanding, you know, the PSK stores that we have that has largely been, you know, more or less stable over the last few years. If we see so what’s kind of, you know, pushing us to expand the number of stores and because you know what we understood from the past was that you know, largely south we had kind of saturated or you know, exhausted, you know, we were well penetrated as far as our PSK stores were concerned. So can you just elaborate like in. Terms of distribution expansion for your PSK. Stores, is it largely going to be non south or it’s across India and what’s the change of thought here to kind of again focus back on this channel?
Mr.Venkatesh Vijayaraghavan
The two things I think the channel we believe that the competitive moat and we have been good at managing this channel. We in fact could call ourselves as a retailer managing close to 700 or 675 plus stores. So I think it’s a substantial competitive differentiation that we believe can be well enhanced as we move forward. In terms of expansion, we are looking at it both from south and non south. Of course on a long term basis there will be a disproportionate growth coming from non south markets. But south markets have enough leeway that is available for us to grow.
So in our minds I think it’s a combination of for example a large number of the big towns or big market. I wouldn’t call south non south. Big cities for example have significantly expanded the geographical boundaries. We are actually plotting some of those gaps that we would have had in these expansion. It could be a Bangalore, it could be a Chennai, it could be a Delhi. So I think a combination of focus on big metros, combination of focus on some of the mid tier towns, that’s the focus right now. Would we go into very deep tired to tie three towns? The answer is no.
Focused on probably the top 200, 300 towns. We have enough scope for us to expand on a long term basis. Disproportionate additions would come from the non south markets.
Reshma Mehta
Understood. And just last two questions. Would the India UK FTA help us directly in any shape? In any form? And if yes, in what shape? And also exports do we have any direct Exposure to exports to the US market.
Saranyan Rajagopalan
We do have good amount of exposure to US market, but these are all not our product. This primarily a third party contract manufacturing in their white label brand. That’s where Mr. Venkatesh was also mentioning in the initial opening remarks, saying that that has got some impact on our exports as well. Where the customers are wait and watch there and wait and watch more to take the consignments. So yes, that will, that is there and that will have some impact. Not significant, but that definitely has some impact on our export. With respect to uk, India, fda, it’s too early to say, but definitely there will be some benefits, especially for the export of stainless steel cookware from India to uk.
We are seeing some benefit, but it will. We have to wait for some more time before we see these benefits.
Reshma Mehta
And if you could quantify the exports to the US in the form of white labeling.
Saranyan Rajagopalan
When you say quantify,
Reshma Mehta
like as a. Percentage of revenue, like in FY25 waters.
Saranyan Rajagopalan
Will be roughly out of total exports 15, 20. 20% will be around 20. But I don’t want to divert so much of information also here being cooperative and it’s roughly around 20, 25%
Reshma Mehta
of the exports. Got it?
Saranyan Rajagopalan
Yeah.
Reshma Mehta
All right, thank you so much.
operator
Thank you. Before we take the next question, we would like to remind participants that you may press Star and one to ask a question. The next question is from the line of Sumit. Individual investor, please proceed.
Unidentified Participant
Good evening. I just wanted to know the UK subsidiary had an impairment charge last quarter. No charges this year, sorry, this quarter. Do you expect that trend to continue and the UK FTA agreement is that net positive for your UK subsidiary or. Doesn’T make a difference?
Saranyan Rajagopalan
Right. We do the impairment on every quarterly basis. I think we have done a major review in March and then we have already provided for at this point of time there is no need for any further impairment. With respect to the UK fta, as I did mention, we have to wait for some time. We do see some benefits in export of. Are they buying some of the stainless steel cookware from India currently? It is not that significant, but once we ramp up, I think that will benefit them. But it’s too early to give any number on how the what exactly the benefit is at this point of time.
Unidentified Participant
All right, thank you.
operator
Thank you. Participants who wish to ask a question, we press Star and one at this time. The next question is from the line of praneet. An individual investor, please proceed.
Unidentified Participant
Hello. Thank you for the opportunity. So I was wondering what the export strategy you wanted to follow. Are we actually looking at exports as a major revenue driver going forward? If yes, how are we planning on scaling up the revenues, especially with the contact manufacturing part of it.
Mr.Venkatesh Vijayaraghavan
So on the export side, I think we are working rigorously to look at how do we sort of leverage some of the opportunities coming in. It would be largely around the white label exports that we would be focused on. Having said that, in the immediate next few quarters, we don’t see this to be a strategic lever for growth. We are investing in capacity, we are investing in knowledge upgradation, we are investing in some of the quality related systems that is required. So we do believe that it is a reasonably profitable business combined with the current infrastructure that we have.
But it’s not an immediate short term focus. Long term this would be one of the growth drivers that we look at. But when I say short term, maybe the next three to four quarters we wouldn’t be sort of focused on this so much.
Unidentified Participant
So what we do see for exports is mostly the cookware category, right. In terms of cookers and rest of the. The ceramic coated pans and all of that. Or will it be appliances part of it?
Mr.Venkatesh Vijayaraghavan
No, no. Exports will be largely cookware pivoted for us.
Unidentified Participant
Understood. And in the commentary, Mr. Presentation, you also mentioned the fact that there’s been a lot of competition in terms of the market. So did we have to take any pricing discounts and all of that? And how do you see the. As the competition continues to grow, do we see any, any sort of price reductions in our overall strategy or how do we see our overall pricing strategy going forward?
Mr.Venkatesh Vijayaraghavan
No, like we mentioned, we would play it as a two pronged strategy. One, which we leverage pricing as a strategic lever to grow some of the volumes in specific targeted markets. The other one, we are quite clear that we would play the space with reasonable pricing which will be competitive in nature. We wouldn’t sort of look at dilution of pricing as a, as a lever on the long term, in the long term. So I think while there is competition, like I mentioned, I think each player have got their own way of looking at it. Overall.
We do believe that given the premiumization trend, there’s enough scope for us to balance the pricing as we move forward. We don’t see the category sort of getting under pressure from an overall pricing perspective outside of raw material. Competitive intensities will be handled by their own merit. That’s the way I would look at it. Channel specific action specific reactions, what need be from a portfolio perspective. But in our overall basis, I think we are reasonably placed to be able to play the market the way we think is right to play.
Unidentified Participant
Understood. So we expect the margins to remain consistent going forward or do we see the margins to stay consistent going forward or do we see slight increase or how is it going to be as we have?
Mr.Venkatesh Vijayaraghavan
I would want to give a direction, I would want to give a direction at this point of time, but we would be, we would ideally aspire to hold it where it is today.
Unidentified Participant
Understood. And one more thing is regarding the market. So basically the urban market has been facing distress, at least that’s what the commentary has been mentioned by the FMCG companies. Do we also see that and rural coming back or how does the state series at this moment of time as their stress in the urban markets or how is it perceived?
Mr.Venkatesh Vijayaraghavan
There is a little bit of a stress, I would say on volumes. The growth is being driven, like I said, from value volume. If I were to linearly look at volume growth, there’s a little bit of a stress across categories and across the geographies, I would say robust volume growth is just picking up in my view. So from a volume growth perspective, there is pressure both across rural and urban.
Unidentified Participant
Understood. And one. So got it. That’s it for myself. Thank you.
Mr.Venkatesh Vijayaraghavan
Okay, thank you.
operator
Thank you. As there are no further questions, I would now hand the conference over to the management for the closing comments. Over to you, sir.
Mr.Venkatesh Vijayaraghavan
Thank you. Thank you for a very engaged conversation. We look forward and I think we have been constantly for the last few quarters. The organization has gone through a massive transition in terms of leadership stabilized and we’ve invested in the right places. We continue to stay invested in opportunities and to focus on, like I said, capacity building, capability building, which augurs well for us as we move forward. We look forward to much more better quarters. Thank you.
operator
Thank you. On behalf of Ambit Capital Private Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines.
Mr.Venkatesh Vijayaraghavan
Thank you.
Saranyan Rajagopalan
Thank you.
operator
Thank you.