Creative Newtech Ltd(CNL)

NSE: CNLBSE: 544631

₹ 1,020.65-0.25%refreshed 23 Oct, 03:54 pm ISTMarket cap: ₹ 1,533 crNext results: 28 Oct 2026Website: www.ecreativeindia.comUpdated: 24 Oct 2026

About

Creative Newtech Ltd (CNL) is an Indian technology distribution and brand management company that operates as a Market Entry Specialist for global brands across IT, Imaging, Lifestyle and Telecom categories, and runs a Brand Business built around the Honeywell consumer products licence. In FY26 the company reported consolidated revenue from operations of ₹2,699.77 crore, up 50.85% year-on-year. CNL represents more than 26 global brands and distributes across India and 38-plus countries in APAC, the Middle East and Africa.^[1][2][3][4]

Business segments

Market Entry Specialist - distribution of third-party global brands - contributed ₹2,318.92 crore (85.9% of FY26 segment revenue), with EBIT of ₹87.29 crore and EBIT margin of 3.8%.^[5]
Brand Business - principally the Honeywell consumer products licence - contributed ₹380.86 crore (14.1% of FY26 segment revenue), with EBIT of ₹126.29 crore and EBIT margin of 33.2%.^[5]
In Q1 FY27, Market Entry Specialist revenue was ₹405.80 crore (85.24% of consolidated) and Brand Business was ₹70.27 crore (14.76%), vs 83.53% and 16.47% respectively in Q1 FY26.^[6]

Products, brands and portfolio

CNL represents more than 26 global brands across IT, Imaging, Lifestyle and Telecom categories as of FY26.^[3]
The Honeywell licence covers air purifiers and accessories sold across India and internationally; H1 FY26 Honeywell revenue was ~₹148 crore (₹65 crore India, ₹82 crore international).^[4]
Distribution portfolio added EIZO (professional displays), Kaspersky (cybersecurity), BRYT (memory), Corsair (gaming/creator), and Dahua (video door phones) in Q3 FY26.^[7]
CyberPower UPS brand is distributed in India, gaining traction from the government's AVGC (audiovisual games and comics) initiative targeting 2 million jobs.^[2]
In Q1 FY27, CNL launched WOZOYO, its own global consumer technology brand, through wholly owned subsidiary Secured Connection Limited (Hong Kong), with operations in India and the US; ~₹8 crore incurred on launch and development.^[6]

Operations and distribution reach

Honeywell brand operates across 38 countries in APAC, the Middle East and Africa as of FY26; Philippines was launched during FY26; air purifier licensing signed across 10 countries.^[2]
International operations are conducted through Secured Connection Limited (Hong Kong); the subsidiary is expected to undertake transactions of up to ₹750 crore in FY2026-27.^[3]
Dedicated in-country teams were established in Singapore, Vietnam, Philippines, Indonesia, Thailand, Turkey and Saudi Arabia as part of FY25 international expansion.^[8]
CNL entered quick commerce platforms Blinkit, Zepto and Swiggy Instamart in FY25 to strengthen digital retail reach for partner brands.^[8]
ERP upgraded to Microsoft Business Central and a Warehouse Management System (WMS) was deployed in FY25 for sharper inventory management.^[8]

Key operating numbers

Gross margin was 12.09% in Q1 FY27 vs 9.03% in Q1 FY26; EBITDA margin was 5.22% in Q1 FY27 vs 3.80% in Q1 FY26.^[6]
Brand Business EBITDA margin was 15 - 16% in Q2 FY26; this segment contributed approximately half of consolidated EBITDA in H1 FY26 despite being ~15% of revenue.^[4]
Standalone working capital cycle was 58 days in H1 FY26, up from 51 days at FY25 year-end, driven by 60 - 65 day credit extended to enterprise customers.^[4]
Trade receivables as a percentage of turnover rose to ~20% in Q4 FY26 from 13.41% in FY25.^[2]
Consolidated net worth was ₹309.26 crore; net debt-to-equity ratio was 0.23; cash and bank balances were ₹55.23 crore, all as at 31 March 2025.^[8]

Customers and distribution model

Enterprise Business (B2B/government) was the largest product category by FY25 revenue at 67.96%; Fast Moving Social Media Gadgets at 21.72%; Fast Moving Consumer Technology at 10.26%; FMEG at 0.06%.^[8]
CNL distributed surveillance products for Matrix (₹250 crore revenue OEM) and Sparsh (₹400 crore revenue OEM), both STQC-certified Indian manufacturers, pan-India from Q2 FY26.^[4]
Key risk flagged in the FY25 annual report: over-dependence on a few brands that account for a majority of revenue.^[8]
CNL transitioned from pure distribution to value-enhanced models incorporating component-to-finished-goods supply chain, technical support, integration capabilities and channel enablement.^[7]

Surveillance vertical build-out

CNL entered the surveillance and security segment via distribution agreements with Matrix and Sparsh, two of the four STQC-certified Indian surveillance brands, creating synergy with its Structured Cabling Systems business for B2B and system integration opportunities.^[6][7]
In Q1 FY27 CNL acquired Infinova India to enhance capabilities in video surveillance, security solutions and intelligent infrastructure, strengthening its enterprise and public safety presence.^[6]

Expansion and strategic initiatives

CNL is planning to demerge the Brand Business from the Market Entry Specialist business in approximately 27 - 30 months (15 months planning plus 12 - 15 months process), conditional on having 3 - 4 brands and nearing ₹1,000 crore brand-business scale.^[2]
Management targets brand business revenue growth of at least 50% per year in FY27 and FY28, and a 50-50 revenue split between Brand Business and Market Entry Specialist by FY30.^[2]
Board approved Creative ESOP Scheme 2026 to grant up to 2,00,000 stock options (~1.33% of issued capital) to eligible employees including those of group companies.^[3]

Recent developments

Q1 FY27: Secured a ₹35.89 crore order from the Food Corporation of India (FCI) for Smart Warehousing across 150 depots.^[6]
Q1 FY27: Received an Advance Work Order from BSNL for the BharatNet Middle Mile Network Project in Odisha with total project value of approximately ₹3,194.83 crore.^[6]
Q1 FY27: Geopolitical tensions and instability in the Middle East have severely impacted CNL's business in the region, affecting market demand, supply chains and overall operations.^[6]
Q4 FY26: Received government orders for body-worn cameras for the Motor Vehicles Department (RTO) and for Disaster Management and Emergency Response Kits.^[2]
Q3 FY26: CNL completed its BSE Main Board listing, enhancing visibility among institutional and retail investors.^[7]

Market Cap

₹1,533 Cr

High / Low

₹1,325 / 524

Stock P/E

20.8

Price / Book

4.2

Book Value

₹242

EPS

₹46.8

No. of Shares

1.5 Cr

ROCE

14.4%

ROE

19.3%

OPM

3.8%

Debt / Equity

0.89

Sales

₹2,700 Cr

Net Profit

₹70 Cr

Promoter holding

56.6%

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Creative Newtech Ltd(CNL)

About

Business segments

Products, brands and portfolio

Operations and distribution reach

Key operating numbers

Customers and distribution model

Surveillance vertical build-out

Expansion and strategic initiatives

Recent developments

Signal history

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