boAt, a leading consumer electronics company known for its audio devices, narrowed its losses by 47% in FY24, reducing them from ₹101 crore to ₹53.5 crore. Despite facing a 5% drop in revenue, bringing it down to ₹3,122 crore from ₹3,285 crore in FY23, the company managed to control costs and strengthen its EBITDA, showing signs of returning to profitability.
While the firm’s core audio business saw a 5% growth, the wearables segment faced margin pressure due to a decline in average selling prices and tough competition in India’s saturated market. The overall wearables market in India experienced its first-ever decline in the June 2024 quarter, with shipments dropping by 10%.
boAt’s success is attributed to its dominance in the affordable audio market and strategic cost management. The company is also taking steps to improve warranty cost optimization and reduce promotional spending, which could further boost profitability in the upcoming fiscal year.
