Crompton Greaves Consumer Electricals Ltd

I am pleased to present Crompton's 3rd Integrated Annual Report for Financial Year 2024-25, which provides a comprehensive look at our performance and the opportunities ahead. As we navigate an evolving industry marked by both challenges and opportunities, Crompton is proud to be at the forefront of its transformation journey. We continue to strive towards our purpose of enhancing lives through innovative and sustainable solutions that redefine the future of the consumer durables sector.

The Electrical Consumer Durables (ECD) industry in India is poised for significant growth, driven by premiumisation, a shift from unorganised to organised markets, and category expansion. Today, consumers are seeking greater value from brands through an emphasis on aesthetics, durability, performance and energy saving. These have been underpinned by an increased emphasis on adhering to regulatory standards governing energy efficiency and safety along with supportive government policies around renewable energy and ‘Make in India'.

We, at Crompton, are well positioned to leverage these emerging opportunities and focus on building consumer-centric products that enhance comfort, convenience and drive higher performance. We are backed by strong long-term macroeconomic fundamentals, despite some immediate and short-term impacts witnessed in consumption and discretionary spends during the year. We continue to closely track consumption patterns and the government stimulus via tax breaks, repo rate cuts and other initiatives are expected to boost consumption going forward.

An important event last year was the launch of #TechWithHeart which emphasises our commitment to ‘Innovation that listens, Tech that cares'. This step reinforces our focus on consumer-centric products that are indigenously developed and manufactured and provides smart, energy-efficient and high-performance solutions, placing consumers at the centre of every innovation, addressing the evolving needs and contributing to a more sustainable and responsible future. This bolsters our R&D efforts and accelerates our ability to introduce new products and patents for future development leveraging consumer insights and streamlining our processes to accelerate speed to market. Several new products were launched last year, including energy-efficient & premium products. We have scaled up our ceiling & decorative lighting portfolio and expanded our solar range across multiple categories given the government's push for renewable energy.

The government is increasingly prioritising energy efficiency, driven by evolving regulatory frameworks and the expansion of norms and standards to additional and newer categories. This growing focus reflects the country's commitment to sustainability. As a company, we are committed to complying with the evolving regulations and leveraging our robust infrastructure and technical capabilities to unlock the full potential of this opportunity, contributing meaningfully to a more energy-efficient future.

While our strong brand legacy of 85+ years holds us in good stead, we continue to invest in our brand equity. This will further improve awareness, engagement and conversions of emerging categories such as large kitchen appliances, small domestic appliances, and home appliances. Backed by compelling value proposition for premium products, our targeted marketing campaigns are aimed at elevating consumer perception toward our premium offerings. This approach is integral to building a differentiated and premium portfolio aligned to shifting market trends.

In line with the government's renewable energy push, solar is becoming increasingly critical across multiple categories.

All our initiatives will fructify through the efforts of our employees who are the essence and backbone of our organisation. We promote a culture of excellence, inclusivity and diversity and a performance-driven culture with a high degree of empowerment and accountability. This has enabled us to embrace fresh talent at all levels to build strong capabilities and leadership succession that is ready to drive Crompton's future trajectory. We also continue to develop a leadership team with next-gen skill sets and a joint vision to face tomorrow's challenges and impediments head on.

At Crompton, we are committed to contributing to a sustainable future and tapping into this rapidly growing market. With the ‘Make in India' initiative gaining momentum, we are strengthening our domestic supply chain capabilities, reinforcing our support for India's growth and enhancing our ability to deliver high-quality products efficiently. We have also established a robust governance framework and strengthened internal controls, ensuring integrity and accountability, thereby solidifying the foundation of a value-accretive business that is digitally powered and future ready.

Looking ahead, accelerating growth in the future will require us to be more consumer-led, with a disproportionate focus on high-growth segments while strengthening our frontend and backend operations. We continue to take critical steps towards practising collective behaviours that promote our purpose and empower teams to innovate and improve. At the same time, we strive to consistently create remarkable products and experiences by closely listening to our consumers and placing them at the front and centre of all our decisions.

Before I conclude, I would like to express my heartfelt gratitude to our consumers, channel partners, vendors, employees and shareholders. Your trust and faith have enabled us to strengthen our growth trajectory and aim for new milestones. Going forward, Crompton is strategically positioned to capitalise on opportunities, sustain its leadership in an increasingly competitive industry, and fulfil its purpose of