Polycab India Ltd — Jan2026 (Q3 FY26)
Overview
Q3 FY26 Earnings Call held January 16, 2026 (quarter ended Dec 31, 2025). Revenue +46% YoY; highest-ever Q3 PAT INR 6.3 bn. 9M FY26 revenues, EBITDA, and PAT all highest-ever for any 9-month period in company history. Key margin headwind: copper +35% Apr-Dec FY26 (21% within Q3 alone) with staggered price pass-through strategy. Board redesignated Bharat Jaisinghani and Nikhil Jaisinghani as Joint Managing Directors.
Key Financials (Q3 FY26)
| Metric |
Q3 FY26 |
YoY |
| Revenue (consol.) |
-- |
+46% |
| EBITDA Margin |
12.7% (adj. ~13%) |
-- |
| PAT |
INR 6.3 bn |
+36% (highest ever Q3) |
| PAT Margin |
8.3% |
-- |
| Net Cash |
INR 30.3 bn |
-- |
| Working Capital |
27 days |
elevated (LC-driven; normalized 50-55 days) |
| Q3 Capex |
INR 3.4 bn |
-- |
| 9M Capex |
INR 10.9 bn |
on track with Project Spring |
- One-off labor code gratuity provision: ~INR 219 mn (across all segments); adjusted EBITDA ~13%
- Finance costs INR 687 mn; other income INR 505 mn
9M FY26 (All-Time Highs)
| Metric |
9M FY26 |
YoY |
| Revenue |
>INR 200 bn (milestone crossed) |
+30% |
| EBITDA Margin |
14.2% |
-- |
| EBITDA Growth |
-- |
+47% |
| PAT Margin |
9.6% |
-- |
| PAT Growth |
-- |
+47% |
Wires & Cables (Q3 FY26)
| Metric |
Q3 FY26 |
| Segment revenue growth |
+53% YoY |
| Domestic W&C revenue growth |
+59% YoY |
| Domestic W&C volume growth |
~+40% YoY |
| Wires revenue growth |
+70% YoY (copper price driven) |
| Cables revenue growth |
+50% YoY |
| Export contribution |
6% (vs 8.3% Q3 FY25) |
| Institutional vs channel |
~12% institutional (shifted +200 bps from normal ~10%) |
| Capacity utilization |
Early 80% range |
- Copper +35% Apr-Dec FY26 (21% within Q3; 11% in Dec alone); aluminium +27%
- Staggered pass-through: 75-80% passed in Q3; remainder in Q4 (price hike taken start of Q4)
- Channel wire inventory elevated at 40-45 days (normal 30 days); fundamental demand remains robust
- Wires outpaced cables due to pre-stocking (copper price driven); cables:wires mix marginally shifted toward wires
- Export soft: US tariff overhang; Middle East and Latin America performing well; healthy order book
- EBITDA margin by product: wires domestic 15-16%; cables domestic 9-12%; exports 15%+
- Cables:wires mix normally 70:30; institutional normally 90:10
FMEG Business (Q3 FY26)
| Metric |
Q3 FY26 |
| Revenue growth |
+17% YoY |
| Profitability |
4th consecutive profitable quarter |
| Solar growth |
2x YoY; largest FMEG category |
| Solar EBITDA margin |
High single digit |
| Fans |
Soft (post-summer channel inventory clearing) |
- BEE norms for fans effective Jan 1, 2026: ~2-4% price hike expected industry-wide
- A&P elevated in Q3 (festive season + celebrity associations); annual guidance: 3-5% of B2C top-line (currently ~1.5%)
- Project Spring FMEG target: 1.5x-2x industry growth; EBITDA margin 8-10% by FY30
EPC Business (Q3 FY26)
| Metric |
Q3 FY26 |
| Revenue |
INR 4,069 mn (+4% YoY) |
| EBIT Margin |
6.7% |
- BharatNet execution commenced: INR 4.5 bn project revenue over 3 years + INR 3.5 bn O&M over 10 years
- Sustainable long-term EBIT margin: high single digits
India Macro Context
- Q2 FY26 GDP: 8.2%; India became 4th largest economy globally (surpassed Japan Nov 2025; GDP USD 4.19 trillion)
- RBI cumulative cut 125 bps in CY2025; FY26 growth forecast revised to 7.3%; inflation target 2%
- Government capex +28.2% YoY in 8M FY26 (INR 6.6 trillion vs INR 5.1 trillion prior year)
- Private capex recovery aided by monetary easing and CST rate cuts on consumption
- Real estate: top 7 cities launches/sales near decadal highs; affordable housing picking up
Project Spring (FY2030 Targets)
- Annual capex: INR 12-16 bn through FY30; 9M FY26 INR 10.9 bn (on track)
- W&C EBITDA margin: 11-13% long-term; 12-14% near-to-mid term
- FMEG EBITDA: 8-10% by FY30
- Exports: >10% of revenue by FY30
- Dividend payout: >30% by FY30