4 days ago

Atomberg Expands Beyond Fans Without Acquisitions, Facing Financial Strain

Atomberg Expands Beyond Fans Without Acquisitions, Facing Financial Strain
Atomberg looks beyond fans, without the M&A route · financialexpress.com

Atomberg is best known for making ceiling fans.

It wants to sell products such as mixer grinders, juicers, chimneys and air-conditioner components.

Instead of buying other companies, it plans to use its own engineering skills to create these products.

The company will spend new money on research, advertising and paying down debt.

Its fan business is still much bigger than its newer businesses.

Sales of its kitchen appliances grew quickly in FY26, but that business still lost money.

Other new businesses also added to the company’s losses.

Established companies often bought businesses to enter new categories, while Atomberg is trying to build them itself.

The main question is whether this approach can help Atomberg diversify quickly without putting too much pressure on its finances.

Key facts

Proposed fundraising
Rs 450 crore through a fresh issue, alongside an offer for sale of 76.54 million shares.
Use of fresh capital
Research and development, brand building and debt repayment; no funds are earmarked for acquisitions.
FY26 fan revenue
Rs 1,152.53 crore, representing 89.08% of consolidated turnover.
Premium fan market share
46.08%, according to Redseer data cited in the prospectus.
FY26 R&D spending
Rs 86.79 crore, or 6.71% of revenue.
FY26 kitchen-appliance revenue
Rs 124.04 crore, after increasing 6.4 times.
FY26 consolidated losses
EBITDA loss of Rs 33 crore and net loss of Rs 148.88 crore.

Sources

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