### **Overview** Eveready Industries India Ltd (EIIL) is a leading Indian consumer goods company with over a century of legacy in the portable energy and lighting sector. Founded in 1905, the company has evolved into a diversified player across three core verticals: **batteries, flashlights, and LED lighting & electrical accessories**. It continues to leverage its iconic 'Eveready' brand, extensive distribution network, and innovation-driven strategies to drive growth and maintain market leadership. The company operates under a multi-brand portfolio including **Eveready, Ultima, PowerCell, Shakti, and Uniross**, targeting diverse consumer segments from mass to premium users. With a revenue mix of ~65% from batteries, ~23% from lighting, and ~12% from flashlights, EIIL is strategically expanding into adjacent product categories while prioritizing profitable growth through premiumization and operational efficiency. --- ### **Strategic Focus Areas (2025)** #### **1. LED Lighting – Accelerating Growth & Institutional Focus** - The **LED lighting business** delivered healthy volume growth in Q4 (Nov 2025) across key SKUs such as battens, panels, emergency lamps, and luminaires. - The company has broadened its **SKU portfolio and pricing tiers**, ensuring presence across budget, mid, and premium segments. - A **dual distribution strategy** is in place: - **General trade** for wide rural and semi-urban reach - **Exclusive electrical outlets and modern retail** for premium consumer and professional buyers - Growing traction in **institutional and government projects**, including NHAI and Kumbh Mela deployments, reflects the brand's rising credibility in **professional lighting**. - Despite **industry-wide price deflation**, EIIL is countering value erosion by shifting focus to **high-margin luminaires, emergency lights, and tailored solutions for enterprises**. > *“Our lighting segment is moving up the value chain—with 80–90% of revenue now from high-margin LED bulbs and luminaires—and is on track to achieve sustainable margins.”* --- #### **2. Batteries – Market Leadership, Premiumization & Local Manufacturing** - **Market Position:** - Holds **53% market share in the overall dry cell battery segment**, including ~60% in carbon-zinc and **15% in alkaline (up from zero in 2023)**. - Sells over **1.3 billion batteries annually** via a network of **~4.5 million retail outlets**. - **Premiumization Drive:** - The launch of **Ultima Pro and Ultima alkaline batteries**—marketed as delivering **400% longer life**—has driven over **50% YoY growth in alkaline battery sales** and nearly doubled its segment market share. - **Neeraj Chopra, India’s Olympic gold medalist**, serves as the brand ambassador, reinforcing the "performance and power" narrative. - **Local Manufacturing Push:** - A **greenfield alkaline battery plant in Jammu (SIDCO Industrial Complex)** is under construction at an investment of **₹180 crore** and expected to begin commercial production by **end-FY2026**. - This will be **India’s first dedicated alkaline battery manufacturing facility**, reducing import dependence, improving margins by ~10%, and supporting B2B and export ambitions. > *“Local production of alkaline batteries is critical for cost control, quality assurance, and scaling our B2C and B2B aspirations under the 'Make in India' strategy.”* --- #### **3. Flashlights – Transition to Rechargeables & Innovation Leadership** - **Market Leadership:** - Dominates **battery-operated flashlights** with ~53–75% market share in the organized segment. - Now a **fast-growing player in rechargeable flashlights**, capturing around **30% market share** since entering the segment in 2023. - **Consumer Shift:** - Rechargeable models now contribute **~50% of flashlight revenue**, offsetting de-growth in traditional battery-operated variants (~20% YoY decline). - Strong demand driven by **rural power outages**, **urban outdoor lifestyles**, and **environmental consciousness**. - **Innovation & Differentiation:** - Launched innovative products like: - **Siren Torch** (feature: built-in personal safety alarm) - **Bheemlite** (designed for farmers) - **DigiLED technology** (faster charging, enhanced brightness) - Focus on **brass/aluminum construction, durability, and Indian usage conditions**. - **Regulatory Tailwind:** - **Mandatory BIS certification** for flashlights (effective post-grace period) is expected to eliminate sub-standard imported and unorganized products, boosting organized players like Eveready. > *“We are shifting from a flashlight brand to a mobility lighting solutions provider—focused on safety, utility, and innovation.”* --- ### **Growth Strategy & Expansion** #### **Product Diversification & Adjacent Categories** - Successfully introduced **small electrical accessories** (e.g., **insulation tapes**) and plans to launch **MCBs and wires**, leveraging brand trust and existing retail distribution. - New product launches are expected to contribute **15–20% of total revenue** in the medium term, supported by strong consumer adoption. - No plans for greenfield diversification. Future moves will be **adjacent to core domains** (battery-powered, portable energy, lighting). #### **Route-to-Market Transformation** - Completed a **pan-India RTM restructuring in FY25**, reducing distributors from 4,000+ to ~250 high-capacity partners. - Direct service to ~700,000–800,000 outlets, with indirect reach to **4.5 million retail touchpoints**. - Expanded aggressively into **e-commerce, quick commerce, modern trade, and electrical specialty stores**. - Data-driven sales tracking and real-time analytics are improving forecasting and inventory management. #### **Innovation & R&D** - Operates a **DSIR-approved R&D center** with **NABL-accredited labs** for testing in chemistry, photometry, and electrical performance. - Uses **AI, automation, and PLM systems** to accelerate product development. - Key focus areas: - **Next-gen alkaline and lithium batteries** - **Zero-mercury formulations** - **Affordable rechargeable ecosystems** - **Emergency lighting with fast-charging (e.g., Instacharge bulb in 4 hours)** --- ### **Operational Strengths** - **Six manufacturing facilities** located in Matia (Assam), Lucknow, Noida, Haridwar, Maddur, and Kolkata—equipped with **ISO 9001, 14001, 45001, and energy management certifications (ISO 50001 at Kolkata plant)**. - Over **95% of batteries and 70% of flashlights are manufactured in-house**, ensuring cost control and quality consistency. - Strong **brand recall** (>85% spontaneous recall) and advertising intensity (**~10% of sales on A&P in FY25**) across TV, OTT, digital, and influencer channels. --- ### **Market & Competitive Environment** - **Challenges:** - **LED lighting price competition** from aggressive new entrants (e.g., Syska, Wipro, Havells). - **Unorganized sector dominance** in flashlights and electricals (~50% of market). - **Consumer price sensitivity** in batteries and lighting. - **Advantages:** - **Brand legacy and trust** - **Pan-India distribution unmatched in depth (rural + urban)** - **First-mover advantage in premium alkaline and rechargeable flashlight innovation** - **Dual-channel distribution strength (general trade + electrical outlets)**