Polycab (POLYCAB) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 revenue was ₹98,989.01m, up 53% YoY; profit reached ₹9,899.97m, up 43%.

• H1 revenue was ₹181,086.33m, up 46% YoY; profit was ₹17,866.51m, up 38%.

• Project Spring initiatives are progressing to plan, with priorities spanning growth, innovation, talent and capabilities.

Financial highlights

• Q2 EBITDA rose 39% YoY to ₹14,225 Mn; EBITDA margin was 14.4%, versus 15.8% a year earlier and 13.8% in Q1. PAT margin was 10.0%.

• H1 EBITDA rose 36% to ₹25,587 Mn, with a 14.1% margin; PAT margin was 9.9%.

• Q2 profit before tax was ₹13,062.20m versus ₹9,210.01m; total income was ₹99,872.68m.

• Q2 contribution was ₹23,366 Mn, or 23.6% of revenue, versus ₹17,563 Mn and 27.1% a year earlier.

Outlook and guidance

• Overall outlook unchanged; structural demand drivers remain intact despite commodity volatility, geopolitical developments and logistics disruption.

• Wires and cables medium-to-long-term EBITDA margin guidance remains 11%-13%; elevated current margins are expected to normalize.

• FMEG targets 1.5x-2x industry growth; Project Spring’s FY30 EBITDA margin range is 8%-10%.

• Healthy H2 demand expected; no revenue growth forecast was given amid copper-price uncertainty.

• EHV plant commissioning is expected in FY28; EPC mid-to-long-term margin expectation remains in the high single digits.