India · Delayed Price · Currency is INR Finolex Cables Earnings Call Transcripts
Fiscal Year 2026
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Q3 saw 35% revenue growth quarter-on-quarter and strong volume gains across key cable segments, with robust cash flow and improved margins. Capacity expansions in fiber and preform are on track, while rising competition and commodity volatility remain key risks.
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Revenue grew 5% for the quarter and 9% for the half-year, with EBITDA up 26% for the quarter. Wires and cables saw moderate growth, while communication cables faced headwinds from low fiber prices and muted government orders. CapEx focused on new plants, and competition is intensifying.
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Q1 FY26 sales and PAT grew 13% year-over-year, with stable gross margins but segment mix shifted toward lower-margin project sales. Communication cables and FMEG growth lagged, while CapEx focused on fiber and e-beam facilities. Margins are expected to recover as real estate projects complete.
Fiscal Year 2025
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Q4 FY25 delivered a strong recovery with record profit before tax and improved margins, driven by new product launches and a positive demand outlook for both wires and optic fiber cables. CapEx execution and capacity expansions are on track, with industry demand expected to rise.
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Q2 FY25 revenue rose 10% year-over-year to INR 1,312 crores, but margins fell due to copper price volatility and inventory liquidation. Management expects margin recovery and steady demand, with major CapEx projects nearing completion and FMEG segment on track for strong growth.
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Q1 FY25 saw modest 2% revenue growth year-over-year but a 12% sequential decline, with net profit at INR 122 crore and margins pressured by copper price volatility and a 10% price cut in June. CapEx of INR 500 crore is underway, targeting fiber and E-beam capacity, while large government tenders and FMEG growth offer future upside.