Just when everyone thought capex, housing, and infra stories were “fully priced,” Polycab walked in and casually dropped its highest-ever quarterly revenue. No drumroll, no fireworks — just ₹76,361 Mn of cold, hard cables.
The Street clapped, then frowned. Why? Because margins slipped, QoQ profits cooled, and copper prices refused to behave. Management, meanwhile, smiled politely and blamed “mix” and “strategy,” which is corporate-speak for we knew this would hurt, but we did it anyway.
Between domestic-led growth, institutional orders exploding, exports sulking in a corner, and EPC doing its usual mood swings, this concall had everything — except boredom.
Stick around. The numbers look shiny, but the fine print is where the real sparks fly.
2. At a Glance
Revenue up 46% YoY – Wires & Cables went brrr; demand didn’t ask for discounts.
EBITDA up 34% YoY – Growth showed up, margins came late.
PAT up 36% YoY – Profits healthy, just not as hyper as last quarter.
EBITDA margin down ~300 bps QoQ – Management chose volumes over vanity.
ROCE at 31.8% – Capital clearly working overtime.
3. Management’s Key Commentary
“We delivered the highest-ever quarterly revenue driven by strong execution.” (Translation: Project Spring is doing cardio and lifting market share 😏)
“Domestic business grew 59% YoY supported by robust demand.” (Translation: India is buying wires like extension cords are the new NFTs)
“We deferred pass-through of elevated input costs to protect demand.” (Translation: We ate copper inflation so customers wouldn’t ghost us)
“Margins declined due to mix shift towards institutional and lower exports.” (Translation: Big orders, thin margins — pick your poison)
“FMEG profitability remained stable despite higher brand investments.” (Translation: Ads are expensive, but fans still sell 😌)
“EPC margins expected to be high single-digit in the medium term.” (Translation: Please stop judging EPC quarter-by-quarter 🙃)
