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Informist, Thursday, Jan. 22, 2026
 

By Gunjan Rajput and Anand JC

MUMBAI – KEI Industries Ltd. has retained its guidance of over 20% compound annual growth rate in profit and revenue for the next few years, supported by capacity expansion, stable margins, and sustained demand for cables and wires. Additionally, the company also retained its guidance of an earnings before interest, tax, depreciation, and amortisation margin of 11% for 2026-27 (Apr-Mar), its management told analysts in a post-earnings conference call Thursday.

"We will be aiming for more, but as we get more visibility, we can give better guidance," the management said, adding that the guidance remains intact irrespective of volatility in copper prices.

KEI Industries' growth outlook is backed by ongoing capacity additions and expansion into newer international markets. Exports have already reached close to 17% of revenue in the first nine months of the year, and the company expects exports to account for around 20% of revenue over the next one to two years. 

KEI Industries is currently exporting to Australia, West Asia, and Africa. However, its exports to the US are on hold because of the Trump administration's decision to impose a 50% tariff--including 25% reciprocal and 25% punitive--on India in August last year. "This year, we are hit by exports to the US, which started last year. So ultimately, in these uncertain times of geopolitics, it is very difficult to comment what a leader is thinking in other countries," the management said.

The company said for the last five years, every quarter or year, they have given guidance of 20% CAGR based on the capacity despite multiple cycles of rising and falling commodity prices. "In last 15 years, our growth was close to 17% CAGR. In last 15 years, number of times prices have gone down, number of times the prices have gone up, but none of the years where we have not grown except the COVID year of 2021." the management said.
 

The management said cost increases are passed on based on retail pricing, and the company typically carries inventory equivalent to around two-and-a-half months.
 

KEI Industries plans capital expenditure of around INR 20 billion, excluding the Sanand plant, as it continues to expand capacity. On competition, the management said, new entrants typically take around five years to build brand credibility in the segment.

"We are also vice-competitive. So we are already operating in a very, very competitive market," the management said, while adding that having a substantial capacity gives it an edge over the compeition.

The company's order book stood at INR 39.28 billion as of Dec. 31, with the company having the ability to execute most orders within three to four months.
 

The company disclosed its December quarter financials on Wednesday after the market closed. For the reporting quarter, the company's net profit was INR 2.35 billion, up over 42% from INR 1.65 billion a year ago. From the trailing quarter, the net profit rose over 15%. Its revenue for the quarter was INR 29.55 billion, up over 19% from INR 24.72 billion a year ago. Sequentially, the revenue rose over 8%. The company's revenue from the cables and wires segment was INR 28.21 billion, up over 19% from INR 23.56 billion a year ago.

AT 1426 IST, shares of the company traded at INR 3,846.40, down nearly 2.4% on the National Stock Exchange.  End

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Edited by Akul Nishant Akhoury

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