1. At a Glance
Q1 FY26 results are in, and Bansal Wire Industries is living up to its name—tight, tensile, and showing strength.
- Revenue: ₹939 Cr (+14.9% YoY)
- PAT: ₹39 Cr (+24.6% YoY)
- OPM: Steady at 8%
They’re building India’s largest wire manufacturing facility at Sanand too. Wire you still not watching?
2. Introduction with Hook
If Bansal Wire were a Bollywood hero, it’d be Ajay Devgn in Singham—silent, underrated, but built with muscle and surprising agility.
- Ranked 2nd in steel wire volume in India
- Largest in stainless steel wire
- ROE: 17.1%
- Customer retention rate: 89.56% among top 300 clients
Bansal doesn’t just manufacture wires—it’s quietly tying up the market.
3. Business Model (WTF Do They Even Do?)
Bansal Wire makes wires. All kinds.
- Mild Steel Wires: Binding, galvanised, barbed
- High Carbon Steel Wires: For tires, automotive
- Stainless Steel Wires: High-margin, export-oriented
- Alloy and Specialty Wires: High-tech industrial demand
- Clients: Construction, automotive, agriculture, infrastructure, defense
It exports to 50+ countries and serves 5,000+ customers. B2B core. No B2C jazz. Just industrial sweat and metallurgical science.
4. Financials Overview
| FY | Revenue (₹ Cr) | EBITDA (₹ Cr) | PAT (₹ Cr) | OPM (%) | ROE (%) | ROCE (%) |
|---|---|---|---|---|---|---|
| FY22 | 2,197 | 106 | 57 | 5% | — | — |
| FY23 | 2,412 | 105 | 60 | 4% | — | 16% |
| FY24 | 2,466 | 144 | 79 | 6% | — | 15% |
| FY25 | 3,507 | 269 | 146 | 8% | 17.1% | 16.4% |
| TTM | 3,629 | 280 | 154 | 8% | — | — |
Trend: Margin expansion + volume growth = strong profitability. Classic case of operating leverage unlocking.
5. Valuation
Let’s wire up the numbers:
- EPS (TTM): ₹9.82
- CMP: ₹417
- P/E: ~42x
- Industry Avg P/E: 25–35x
- Book Value: ₹81.1
- ROE: 17.1%
- Growth CAGR (3Y PAT): 36%
Fair Value Range = ₹375 – ₹475
Currently fully priced in. Any breakout from here needs Sanand to deliver… fast.
6. What’s Cooking – News, Triggers, Drama
- Q1 FY26: Strong 25% jump in PAT
- Sanand Expansion: ₹500+ Cr capex, expected to double capacity
- Export Boost: New markets tapped in South America and SE Asia
- IPO Proceeds Utilised: Efficient deployment toward working capital and machinery
- Corporate Moves: New internal and cost auditors appointed; IPO committee dissolved (finally post-listing cleanup)
This isn’t a flashy company—but make no mistake, it’s making moves.
7. Balance Sheet
| Metric | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Equity Capital (₹ Cr) | 9 | 9 | 64 | 78 |
| Reserves (₹ Cr) | 214 | 273 | 359 | 1,191 |
| Total Borrowings (₹ Cr) | 413 | 422 | 681 | 608 |
| Total Liabilities (₹ Cr) | 695 | 749 | 1,264 | 2,168 |
| D/E Ratio | 1.76x | 1.55x | 1.26x | 0.44x |
Balance Sheet Verdict: Debt going down post-IPO. Sanand is capex-heavy, but backed by equity reserves.
8. Cash Flow – Sab Number Game Hai
| FY | CFO (₹ Cr) | CFI (₹ Cr) | FCF (₹ Cr) | CFF (₹ Cr) | Net Cash Flow (₹ Cr) |
|---|---|---|---|---|---|
| FY22 | -12 | -19 | -31 | +30 | -0 |
| FY23 | +103 | -87 | +16 | -15 | +0 |
| FY24 | -537 | -496 | -1,033 | +1,035 | +2 |
| FY25 | -151 | -444 | -595 | +595 | -0 |
Insight: Working capital sucked in FY24-25 due to Sanand capex. Post-commissioning, expect FCF normalization.
9. Ratios – Sexy or Stressy?
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| ROE (%) | — | — | 17.1 |
| ROCE (%) | 16% | 15% | 16.4 |
| OPM (%) | 4% | 6% | 8% |
| Cash Conversion | 81 | 100 | 110 |
| Inventory Days | 45 | 58 | 86 |
| Debtor Days | 38 | 53 | 50 |
| Payable Days | 2 | 11 | 25 |
Verdict: Operational metrics are tightening, but CCC is expanding. Nothing alarming yet.
10. P&L Breakdown – Show Me the Money
| FY | Revenue (₹ Cr) | EBITDA (₹ Cr) | PAT (₹ Cr) | OPM (%) | NPM (%) |
|---|---|---|---|---|---|
| FY23 | 2,412 | 105 | 60 | 4% | 2.5% |
| FY24 | 2,466 | 144 | 79 | 6% | 3.2% |
| FY25 | 3,507 | 269 | 146 | 8% | 4.2% |
EBITDA doubled in 2 years. This is what happens when fixed costs stop growing and wires don’t.
11. Peer Comparison
| Company | CMP (₹) | P/E | ROCE (%) | OPM (%) | Revenue (Cr) | PAT (Cr) |
|---|---|---|---|---|---|---|
| APL Apollo | 1,692 | 62 | 22.8 | 5.8 | 20,689 | 757 |
| Welspun Corp | 931 | 20 | 21.2 | 12.0 | 13,977 | 1,206 |
| Shyam Metalics | 919 | 28 | 12.0 | 12.3 | 15,137 | 908 |
| Bansal Wire | 417 | 42 | 16.4 | 8.0 | 3,629 | 154 |
While others are larger, Bansal scores on asset turns, growth momentum, and export mix.
12. Miscellaneous – Shareholding, Promoters
| Category | % (Jun 2025) |
|---|---|
| Promoters | 77.99% |
| FIIs | 2.07% |
| DIIs | 16.15% |
| Public | 3.78% |
| Shareholders | 56,124 |
- Tight float, high promoter confidence
- Increasing DII stake
- Public shareholding very low = can be volatile on low volumes
13. EduInvesting Verdict™
Bansal Wire is the kind of company that makes you believe in real India manufacturing stories. No fluff. Just steel, sweat, and solid numbers.
The stock isn’t cheap. But it has a clean runway ahead:
- Capacity expansion via Sanand
- Margin expansion via mix shift
- Export ramp-up with 5,000+ customers
It’s the wiring up of India’s infra story. Just be careful not to overpay for it.
Metadata
– Written by EduInvesting Team | 21 July 2025
– Tags: Bansal Wire, Steel Wires, Infra Growth, Sanand Expansion, EduInvesting Premium
