1. At a Glance
Paramount Communications Ltd, once the problem child of Indian cables, is now flexing with an order book of ₹619 crore, a market cap of ₹1,374 crore, and a “paisa vasool” return of –46% in one year (yes, minus – because apparently the market also took shock therapy). Current price sits at ₹45, down from a high of ₹90. P/E is a reasonable 17.1, debt-to-equity just 0.05 (basically “loan free after years of therapy”), ROCE at 16.3% and ROE at 12.8%. Last quarter revenue grew 40% YoY to ₹451 crore, but profits dropped 27% to ₹18.5 crore. Clearly, they know how to grow top line, but bottom line… let’s just say they need to call an electrician.
2. Introduction
Welcome to the world of Paramount Communications, a company that has survived more shocks than your neighborhood transformer in monsoon.
This is a firm that started with wires, got tangled in loans, almost got electrocuted by NPAs, but somehow came out debt-free in FY25 – thanks to Invent ARC playing “bad bank” doctor. From being labelled a serial defaulter in 2016 to announcing “net debt free” status in 2025, Paramount has basically given SEBI and bankers a live demonstration of “jugaad + patience = resurrection.”
But don’t mistake this resurrection story for sainthood. The stock price is like that one relative who promises they’ve reformed but still shows up drunk at weddings. In 3 months, down 24%. In 1 year, down 46%. Yet, if you zoom out 5 years – tadaa! – 45% gain. It’s like IPL teams: one season you’re champions, next season you’re wooden spoon.
So, the big question: Is Paramount the underdog who makes a comeback like SRK in Chak De India, or just another midcap drama that flatters to deceive? Keep your helmet on, we’re going wire by wire.
3. Business Model – WTF Do They Even Do?
Paramount is in the “wires and cables” game – basically the arteries of modern infrastructure. You don’t see them, you don’t Instagram them, but without them, your Netflix binge and metro rides collapse.
Product basket is 25+ types, 2,500 SKUs: LT & HT Power Cables, House Wires, Optical Fiber Cables, Railway Cables, Fire Survival Cables, Axle Counter Cables (special for Indian Railways – so when trains get delayed, don’t blame Paramount). They also acquired a small HDPE pipes
One Response
Excellent analysis with humorous. Short term it is down due to Trump tarrif because 40 percentage export to US market , if anything happens between good deal between India and America then this company will rocket