• Q1 performance drivers: Revenue grew 26% year-on-year in Q1, driven by price increases linked to raw material costs, a 7% to 8% volume expansion, and stabilized operations following the Kurl-on acquisition.
• Kurl-on integration: More than 95% of the integration is complete across manufacturing, supply chain, and IT, enabling geographical cross-selling between Kurl-on in the South and East and Sleepwell in the North and West.
• Market conversion opportunity: Cannibalization between brands remains minimal as 65% of people still use cotton mattresses and two-thirds of modern mattresses belong to the unorganized sector, leaving substantial room for organized market expansion.
• E-commerce channel growth: Online and D2C sales generated approximately ₹300 crore to ₹325 crore in turnover last year and are expected to increase further, catering primarily to entry-level and short-term replacement demand.
• Raw material volatility: While high input costs can generally be passed on to consumers, sharp fluctuations in raw materials like TDI and polyol due to Middle East disruptions remain the main operational challenge.