Strong volume growth masked by cost headwinds; price momentum key

Delivered 18.8% revenue growth; volume claim plausible but revenue growth includes pricing

PAT ₹1,501.4 Cr represents 21.3% YoY growth but -42.3% QoQ; claim technically true YoY but misleading on momentum

OPM 15.9% maintained YoY but QoQ decline (-5.5% revenue, -42.3% PAT) shows cost pressures not yet absorbed

Price momentum described but actual realization in Q2 was modest (see 1.5% average price decline within Q2)

Consistency with 13.8% volume growth on higher base; claim supported by delivered growth

Q2 saw 4.6 MT greenfield capacity (Pejikota Andhra 3.6 MT, debottlenecking 3 units 1 MT). On track to 240 MT; prior guidance 'without surprises' maintained.

+116 MW renewables, +10 MW waste heat; provides cost insulation vs. spike in industrial diesel and pet coke costs.

Brand-new division, 25 days old by call date; INR1,100 Cr capex planned, INR1,800 Cr total; will report separately from Q3. Scaling faster than planned but immature; upside/risk unclear.

Net debt/EBITDA jumped 0.94x (Mar-26) → 1.26x (Sep-26); NCDs raised INR5,000 Cr @ 7.25% to fund capex + dividend. Mgmt pledges <1x by Mar-27.

INR45 to INR51.5/bag fuel cost YoY, INR2.1/kcal domestic coal (vs INR2.09 prior); reducing pet coke (now down from historical highs) due to West Asia crisis.

Fuel costs already elevated; inventory cost currently INR180/ton (pet coke). No prediction on peak; cost mitigation via price discipline and product mix. October prices up.

Unique Class 5 products (insulation, e-beam) commanding premium. Differentiation via product, not price undercut. PVC conduit immediate; then broader electrical accessories. Market share mode first, ROCE secondary.

Accounted for. No reversal. Effective date retroactive; paid and closed.

INR5,882 Cr spent H1, INR4,118 Cr to come. Debt: 0.94x Mar-26 → 1.26x Sep-26 (capex + dividend), back below 1x by Mar-27. Board decides dividend at year-end based on performance.

Q2 average ~5% up from Q1. Spot today 5% higher. Sep-Oct hikes happened post-quarter; Q3, Q4 will capture benefit. October prices up 3-4% per bag.

Operating leverage will kick in once price absorption / cost stabilization confirmed. Expected from Q3 onwards as prices rise and cost lag closed.

No sanctions beyond INR1,800 Cr for Wires/Cables. Board hasn't approved beyond INR10,000 Cr total. Ramp-up is pace increase, not cost increase. Machinery still coming; still in build mode.

INR2.1 possible to INR2.2 depending on $180 oil baseline. Unless crude hits $300, unlikely to spike dramatically.

South fully sold out. Pricing improving. Capacity utilization 15-20% growth on capacity in South. Profit expansion underway. South to reach all-India parity.

Not 500. 15,000 pin codes, 80,000-store network built. Stock-out situation; already reaching ramp-up mode capacity.

Domestic coal availability is constraint. Coal India prioritizing TPP (power plants). Industrial allocation tight. Limits direct long-term contracts.

Trade ratio 65-67%. Non-trade growing faster. Housing outpacing trade. Rural demand weak but government (MGNREGA) will help. Expect strong volume FY28.

Yes. Cost pressures covered by price increases. Expectation: deliver INR1,400 if cost stability holds (no fresh macro shocks).

Demand strong, capacity expanding, market share growing. H2 seasonally stronger post-monsoon; management confident.

Predicated on price-cost lag closure, no new macro shocks (West Asia, fuel). Operating leverage and cost reduction programs (AI, logistics) supporting.

INR5,882 Cr spent H1, INR4,118 Cr to come in H2. Wires/Cables ₹1,100 Cr (of ₹1,800 Cr total for division) within INR10,000 Cr full-year.

Fuel cost up 13% YoY (INR45→₹51.5/bag); raw materials +3% QoQ. West Asia crisis ongoing; pet coke ($180/ton) critical. Price pass-through lags.

September (monsoon quarter) typically weak; East markets disrupted by heavy rains. Rural demand ~40% of non-trade; agri-dependent. Drought pockets in South/Maharashtra.

Net debt/EBITDA jumped from 0.94x (Mar-26) to 1.26x (Sep-26) due to capex ₹17,000 Cr plan and INR dividend paid. Mgmt commits <1x by Mar-27; execution dependent on earnings.

Launched Sep 26 (25 days old at call). INR1,800 Cr capex planned; scaling faster than anticipated but ROIC, dealer profitability, and market share uncertain. Could become a capital sink if adoption slower.

QoQ PAT crashed -42.3% despite +18.8% YoY revenue, indicating mid-quarter cost hit vs. delayed price pass-through. Fixed costs (+4%) and variable costs (fuel +13%, raw materials +3%) squeezed margin. Operating leverage expected H2 but not guaranteed.