The company reported a consolidated net profit of ₹61.4 crore, compared with ₹6.5 crore in the corresponding quarter last year, translating into a year-on-year increase of 839.4%.
Revenue from operations rose 25.6% to ₹1,031.9 crore from ₹821.4 crore a year earlier, while EBITDA, or earnings before interest, tax, depreciation and amortisation—a measure of operating profitability—increased 44.8% to ₹108.9 crore from ₹75.2 crore.
The stronger operating performance also translated into improved profitability. EBITDA margin expanded to 10.6% from 9.2% in the year-ago quarter, indicating that the company generated higher operating profit on every rupee of revenue than it did a year ago.
Record first-quarter performance
Crossing ₹1,000 crore in quarterly revenue and ₹100 crore in EBITDA for the first time in the April-June quarter marks a significant milestone for Sheela Foam, as the first quarter has historically been a relatively softer period for consumer businesses compared with the festive-heavy second half of the financial year.
The results indicate that the company delivered growth not only through higher sales but also through better operating efficiency, with EBITDA growing faster than revenue and margins improving by 140 basis points.
While the exceptionally high growth in net profit was partly aided by the low base of the corresponding quarter last year, the company’s operating performance also showed meaningful improvement, with revenue and EBITDA posting healthy double-digit growth.
Mattress, foam and online channels drive growth
Growth during the quarter was broad-based across the company’s businesses.
The mattress business reported 6% volume growth and 15% value growth, suggesting that both higher sales volumes and a richer product mix or improved pricing contributed to revenue growth.
The foam business also delivered a strong performance, with volumes increasing 4% while value grew 26%, indicating that realisations improved significantly during the quarter.
The company also continued to expand its online presence. Sales through its own brand website surged 69% year-on-year, while sales through e-commerce marketplaces increased 19%. The performance reflects the growing contribution of digital channels to the company’s overall business as more consumers purchase home and lifestyle products online.
Management remains optimistic
Commenting on the results, Chairman and Managing Director Rahul Gautam said the company had started FY27 on a strong note, with both its mattress and foam businesses sustaining the momentum built during the previous financial year.
He added that Sheela Foam’s e-commerce initiatives and its U2O (Universal to Omni) strategy continue to scale up, while the company remains focused on delivering consistent growth, improving profitability and creating long-term shareholder value.
The June-quarter performance suggests that Sheela Foam continues to benefit from healthy demand across its core businesses while improving operating efficiency. Going forward, investors are likely to watch whether the company can sustain this momentum, particularly in its higher-margin mattress segment and fast-growing digital channels, while maintaining the margin gains achieved during the quarter.
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