Earnings Outlook
Polycab Q1 PAT, sales to rise YoY led by wires, cables ops
This story was originally published at 14:43 IST on 16 July 2025
Register to read our real-time news.Informist, Wednesday, Jul. 16, 2025
By Akash Mandal
MUMBAI – Polycab India Ltd. is expected to report strong on-year earnings growth in the June quarter and is likely to be among the top performers in the consumer durables sector due to high demand in the wires and cables and fast-moving electrical goods segments.
The company's consolidated net profit for the quarter is expected to rise over 29% on year to INR 5.11 billion, according to average of estimates from 11 brokerages. However, the bottom line is seen down nearly 30% sequentially from INR 7.27 billion. The highest estimate for the company's bottom line is INR 5.40 billion by Kotak Institutional Equities while the lowest is INR 4.67 billion by Dolat Capital Market Pvt. Ltd.
The company's consolidated revenue is expected to rise 21% on year to INR 56.70 billion in the June quarter, according to the average of estimates from 11 brokerages. The highest estimate is INR 58.04 billion by Nuvama Wealth Management Ltd. and the lowest is INR 55.31 billion by Dolat Capital.
In the previous quarter, the company had reported its highest on-year growth in net profit in the last six quarters and its top line had grown at the highest pace in four quarters. Last quarter, the company's top line had grown 25% and bottom line had risen 33%.
"Domestic demand for both cable and wires is expected to remain healthy in Q1FY26 with mid-teen volume growth...wires segment saw healthy demand due to rise in copper prices," Dolat Capital said in a report. Kotak said, "Wire demand, while weak initially, picked up through the quarter due to rising copper prices. We expect volume/value growth of 20%/23% in Polycab's domestic W&C (wires and cables) sales." The brokerage also expects the company's fast-moving electronic goods segment to grow 20% on year led by the solar category. "Switches, conduit pipes, and solar should perform better, while fans would register de-growth," YES Securities said.
The company's earnings before interest, tax, depreciation, and amortisation are seen at INR 7.49 billion in the reporting quarter, according to the average of estimates from nine brokerages. This would mean a 28% on-year growth. Estimates for the metric range from INR 7.94 billion by Kotak to INR 6.87 billion by Dolat Capital.
The estimate for EBITDA margin for the quarter is broadly around 13%, with Dolat Capital and Kotak being the slight outliers. Dolat Capital expects the company to report a margin of 12.4%, while Kotak expects it to be around 13.9%. The company had reported an EBITDA margin of 12.4% in the same quarter last year and 14.7% in the March quarter.
"We estimate W&C EBIT margin at 14%, up 140 bps yoy on a soft base (last year's margin was impacted by volatile RM (raw material) prices and adverse geographic mix)," Kotak said. Motilal Oswal also expects the EBIT margin for the cables and wires segment to expand 40 basis points on year to 13%.
The growth in company's exports is likely to be hit by US tariffs but is seen improving in the next few quarters. "We estimate 22% growth in W&C, led by 5%/23% growth in exports/domestic markets...exports growth is weaker than initially anticipated due to US tariff and Middle East war-related uncertainties," Kotak said. Nuvama sees exports ramping up slowly after being subdued in the past quarters, "given transition in its largest geography-USA."
Polycab will announce its June quarter earnings Thursday. At 1438 IST Wednesday, shares of the company traded 0.2% higher at INR 6,959 on the National Stock Exchange. The stock has risen nearly 21% since the announcement of its March quarter earnings on May 6.
Following are the Apr-Jun earnings estimates for Polycab India, in billion rupees, based on reports compiled by Informist from 11 brokerages in descending order of the estimate of net profit:
| Brokerages | Net Sales | Net Profit | EBITDA (excluding other income) |
| Kotak Institutional Equities | 57,100.00 | 5,398.00 | 7,942.00 |
| Elara Securities (India) Pvt Ltd | 57,208.00 | 5,309.00 | 7,652.00 |
| Prabhudas Lilladher Pvt Ltd | 55,627.00 | 5,211.00 | 7,398.00 |
| Nirmal Bang Equities Pvt Ltd | 56,755.00 | 5,175.00 | 7,559.00 |
| YES Securities (India) Ltd | 55,966.00 | 5,147.00 | 7,499.00 |
| Sharekhan Ltd | 56,850.00 | 5,120.00 | |
| Centrum Broking Ltd | 57,778.00 | 5,104.00 | 7,542.00 |
| Motilal Oswal Financial Services Ltd | 56,364.00 | 5,043.00 | 7,372.00 |
| Anand Rathi Share and Stock Brokers Ltd | 56,732.00 | 5,036.00 | |
| Nuvama Wealth Management Ltd | 58,037.00 | 5,015.00 | 7,570.00 |
| Dolat Capital Market Pvt Ltd | 55,306.00 | 4,668.00 | 6,873.00 |
| Average | 56,702.09 | 5,111.45 | 7,489.67 |
End
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
Edited by Ashish Shirke
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