Polycab (POLYCAB) Q2 25/26 earnings summary

Executive summary

• Achieved record Q2 and half-yearly revenue, with Q2 FY26 consolidated revenue at ₹64,772.11 million, up 18% YoY, driven by strong wires and cables (W&C) and FMEG growth, partially offset by EPC decline.

• PAT for Q2 FY26 reached ₹6,929.59 million, up 56% YoY, marking record profitability and a PAT margin of 10.7%.

• EBITDA grew 62% YoY to ₹10,207 million, with margin improvement to 15.8% due to stronger W&C margins and a one-off EPC gain.

• Leadership transition: Mr. Niyant Maru appointed as CFO and interim CEO effective October 31, 2025, following the resignation of the previous CFO.

• Market capitalization grew from INR 8,000 crore in FY19 to over INR 110,000 crore.

Financial highlights

• H1 FY26 revenue at ₹1,23,832 million, up 21% YoY; H1 EBITDA at ₹18,784 million, up 55% YoY; H1 PAT at ₹12,927 million, up 53% YoY.

• Net cash from operations in H1 FY26 was ₹17,905.45 million; capex spends at ₹7,486 million.

• Basic EPS for Q2 FY26 stood at ₹45.54, up from ₹29.25 in Q2 FY25.

• Net cash position at ₹29,416 million as of Q2 FY26; working capital cycle reduced to 31-33 days.

• Dividend payout increased to 26.3% in H1 FY26, targeting >30% by FY2030.

Outlook and guidance

• Expectation of strong demand in H2, supported by government CapEx and private sector revival.

• Project Spring targets 1.5x-2x market growth in core W&C and FMEG segments by FY30, with annual capex of ₹12-16 billion and export contribution expected to exceed 10%.

• FMEG segment aims for 8%-10% EBITDA margin by FY2030; consolidated margin guidance at 11%-13%.

• Board and auditors expressed confidence in the financial statements, with no material misstatements identified.