Polycab India Q1 FY27 Earnings Call Transcript Released

Polycab India Limited has submitted the transcript of its Earnings Conference Call held on July 16, 2026. The call, which discussed the Q1 FY27 results approved by the Board earlier that day, featured insights from Chief Financial Officer Niyant Maru and Head of Strategy and Investor Relations Shashank Yagnick.

During the call, the management highlighted a strong performance for Q1 FY27, with consolidated revenues growing by 39% year-on-year. EBITDA increased by 32% year-on-year, reaching margins of 13.8%, an improvement of approximately 70 basis points sequentially. The company reported its highest ever quarterly Profit After Tax (PAT) of ₹7,967 million, marking a 33% year-on-year growth, with PAT margins at 9.7%. The net cash position remained strong at ₹39.9 billion. The average working capital cycle improved significantly to 15 days, aided by temporary increases in payable days. Capital expenditure for the quarter was ₹3.2 billion.

The Wires & Cables business registered a 39% year-on-year growth, with the domestic segment growing by 43%. Wires grew faster than cables, and channel sales outperformed institutional sales. EBIT margins for this segment stood at 13.3%, with a medium- to long-term guidance of 11% to 13%.

The FMEG business delivered a remarkable 71% year-on-year growth, marking its tenth consecutive quarter of outperforming industry growth. The solar business was a primary growth engine, more than doubling year-on-year. Other FMEG categories also showed healthy growth, driven by the real estate and construction sectors. EBIT margins for FMEG were 8%, with a target of 8% to 10% EBITDA margins by FY 2030. The premium product mix within FMEG increased to 25%, with specific strong contributions from fans (33%) and lighting (38%).

The EPC business reported revenues of ₹3,077 million, a 11% year-on-year decline, but maintained healthy profitability at ₹338 million with an 11% margin. The company expects sustainable operating margins for the EPC business to remain in the high single-digit range over the medium to long term.

Management addressed questions regarding volume growth, pricing, export performance, and opportunities in data centers and optic fibers. They noted that while overall export growth declined due to Middle East impacts, momentum is returning with a healthy order book from the US, Europe, and Latin America. The company has secured fibre for the next 2-3 years for the Bharat Net project, mitigating exposure to high fiber prices. They also indicated a price revision of about 3-4% in the first fortnight of July. The FMEG business's strong performance was attributed to operating leverage and a significant increase in the premium product mix.