TTK Prestige gains after board OKs Rs 500-cr capex plan

The company said that this outlay will cover both soft operational expenses and hard expenses of capital nature. The spends on operational areas for achieving the overall business excellence, which will include innovation, design, manufacturing / sourcing, go to market with clear market segmentation, logistics and service, is estimated at around Rs 200 crore while the capex is estimated to be of the order of Rs 300 crore.

This outlay is designed to fortify the current core business of the company - Pressure cookers & Cookware, domestic kitchen appliances both electric and non-electric and targeted export clients. Wherever necessary the company will use external expertise in specific domains.

'The action plan is designed to get back to a good growth phase, besides bringing in sustainable savings in costs. This plan may result in some transient impact on operating EBITDA margins over the next 8 quarters as initial one-time soft-investments are targeted to achieve growth and cost-savings may not outweigh the one-time soft investments,' the company stated in exchange filing.

TTK Prestige manufactures kitchen appliances and cookware, under the Prestige brand.

The company's consolidated net profit declined 6.5% to Rs 58.45 crore in Q3 FY25 as compared with Rs 62.48 crore in Q3 FY24. Net sales fell 1.5% YoY to Rs 727.23 crore during the quarter ended 31st December 2024.