Shares of Polycab India fell 4% to an intraday low of Rs 8,888 on the BSE on Friday, despite the company reporting its highest-ever first-quarter performance. The stock declined from its previous close of Rs 9,216, even as net profit surged 33% year-on-year (YoY) to Rs 797 crore.
On Thursday, the company reported a 39% YoY rise in consolidated revenue to Rs 8,210 crore for the quarter ended June 30, 2026. The strong performance was driven by robust growth in its Wires & Cables (W&C) business and continued momentum in the Fast-Moving Electrical Goods (FMEG) segment.
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EBITDA rose 32% YoY to Rs 1,136 crore, driven by improved operational efficiency and a favourable business mix. The EBITDA margin stood at 13.8%, while the net profit margin came in at 9.7%.
The FMEG business posted 71% YoY revenue growth across all product categories, with solar products remaining the largest segment and more than doubling from a year ago. Segment EBIT margin expanded to 8%, aided by operating leverage and a richer product mix, in line with the company's Project Spring target of 8-10% EBITDA margins by FY30.
The Wires & Cables (W&C) business, Polycab's largest segment, reported 39% YoY revenue growth, led by a 43% rise in domestic sales on the back of healthy demand and strong execution under Project Spring. While the wires business outpaced cables, international revenue declined 13% YoY. The company, however, said its diversified global footprint and healthy order book provide strong growth visibility.
The EPC business saw revenue decline 11% YoY due to project execution timing but maintained an 11% EBIT margin, supported by a healthy order backlog and strong execution pipeline.
"We have entered FY27 with strong momentum, achieving our highest-ever first-quarter revenue and profit performance," Chairman and Managing Director Inder T. Jaisinghani said, adding that government infrastructure spending, capacity expansion, innovation, and distribution network growth will support long-term growth.
The company also paid a final dividend of Rs 47 per share, amounting to Rs 7,079.85 million, after shareholder approval at its AGM on June 30, 2026.
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In the past six months, the stock has gained 25.12%, while it is up 16.29% so far in the current calendar year. Over the last three and five years, it has delivered returns of 128% and 361%, respectively.
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