Strong leverage proven; FY27-28 guidance hinges on execution

Delivered ₹689.9 Cr revenue, 128.6% YoY growth

PAT ₹58.4 Cr up 190.7%, NPM 8.4%

EBITDA ₹85 Cr ÷ ₹690 = 12.3%, OPM reported 11.2%

Missed by ₹10 Cr at ₹689.9; QoQ revenue -0.9%, PAT -3.6%

Profit grew 191% vs revenue 129% — operating leverage evident, but QoQ negative

Completed post-Q1; net worth swung from -₹922 Cr (Mar 26) to +₹691 Cr (Aug 26). Proceeds deployed to capex/working capital, not Q1 earnings.

5.3x Q1 revenue; ~₹1,000 Cr fresh wins since Apr, ₹400 Cr in last 7 days. Underwrites FY27 guidance.

Legacy NCLT issues closed. ₹10 Bn fixed assets, ₹9.78 Bn receivables legally cleared; receivable recovery team expects ₹300 Cr over 12-18 mo.

40%+ of order book from Adani; Board mandate to dilute to 20% by year-end. Single largest customer risk in portfolio.

Q1 flooded (Jun early heavy rain); MV cable installation halted. Lost estimated ₹70-80 Cr revenue opportunity. Products not impacted; timing impact only.

Rod mill 15 Oct, silane 15 Sep, CCV #6 Dec 2027. 6th line ordered this month, ₹50 Cr equipment cost, 4-5 mo commission, no additional civil/utility cost.

Data centers in cities (Hyderabad, New Bombay) require transmission line upgrades; HTLS reconductoring enables higher capacity. AL-59 now 70% of market, replacing ACSR.

Net worth now +₹691 Cr post-QIP. Usage: ₹130 Cr LV, ₹74 Cr equipment, ₹325 Cr corporate, ₹350 Cr promoter loan repay, ₹750 Cr working capital.

Gradual ramp. FY26 also grew ~50% QoQ throughout. Q1 weakest (rain), Q3-Q4 strongest. FY27: conductors 40%, cables 50-52% utilization. FY28: 60% both.

Internal target ₹1,000 Cr orders by Mar 2027. FY27 sales ₹750 Cr expected. FY28 ₹1,500 Cr target. Goal: 20% of cable revenue from data centers.

Adani ~40%+ of order book. Board mandate to reduce to 20% by year-end. 670 active customers across verticals; 200+ in order book.

Range is 11-13% dependent on metal prices (±22-23% impact). Product mix: LV 8-9%, conductor 9-10%, 11kV 14-15%, 33kV 16%, 66+ 18-22%. Blended avg 11-13%, improvement possible if mix shifts higher voltage.

Factored in. FY27 ₹4,300-4,500 Cr, FY28 ₹7,500 Cr, and ₹14,000 Cr at 75% utilization over 3 years.

Export negligible today. Certifications for US, Europe on track. Target ₹500 Cr order book by year-end FY27. Q3/Q4 expect good inflow. Will disclose FY28 guidance after year-end.

Macro: commodity volatility, geopolitical (Iran war inflated polymer/metal 20-30%). Micro: execution on scaling, team building (15+ leaders hired, more coming). Not aiming for ₹8,000 Cr overnight; realistic phasing.

Implies ₹1,200-1,250 Cr avg Q2-Q4 vs ₹690 Q1. Grounded in ₹3,688 Cr order book, but requires 2-2.5x monthly pace post-monsoon.

1.7x FY27 midpoint. Depends on LV facility (₹1,880 Cr capacity), 6th CCV line, data center ramp to ₹1,500 Cr, and 60% utilization on cables/conductors.

3-year horizon. Not expected in FY29 per mgmt. Optionality for inorganic growth or higher utilization post-FY28.

Range reflects aluminum/copper price volatility (±22-23% swing from ₹3,000-3,800/T). Pass-through contracts normalize over time. Mix shift to higher-voltage (66+) could expand to 13-15% long-term.

Board approved 2 corrugation lines; 6th CCV targeted order this month, delivery Aug 2027. MV lines #2 on schedule. LV facility commercial production FY28.

Adani Group represents 40%+ of current order book. While Board mandated dilution to 20% by year-end, loss of Adani orders would materially impact FY27 guidance execution.

6th CCV line, 2 MV cable lines, LV facility, aluminum corrugation lines, silane line #2, rod mill #4 all targeting Sep 2026 - Mar 2027. Operational complexity, supply chain delays, or technical issues could delay revenue recognition.

Aluminum ₹3,000-3,800/T (22-23% swing); copper similarly volatile. Q1 saw aluminum fall from ₹3,800 (May) to ₹3,000 (June). Pass-through contracts have timing lag; portion of order book locked at old prices.

FY26 utilization: cables 34%, conductors 20%. FY27 target: cables 50-52%, conductors 40%. Depends on order book fill and on-time capex commissioning. Shortfall on either front delays margin improvement.

Q1 monsoon (Jun early/heavy rain) disrupted MV cable trenching/installation. Estimated ₹70-80 Cr revenue opportunity lost. Recurrence risk in 2027 if pattern repeats.

3x revenue growth (FY27 ₹4,400 vs historical ₹1,900) requires proportional increase in receivables, inventory, and payables. Geopolitical shocks (e.g., Iran war) spike input costs, requiring 20-30% more working capital.