FINOLEX CABLES
(NSE: FINCABLES)
Business:
Leading player in electrical and communication cablesProducts include electrical wires, power cables, communication cables and optical fibre cablesBenefits from India’s growing demand for power infrastructure, housing, industrial capex, solar and data connectivityQ1 FY27 Performance 📊
Revenue: ₹2,013 Cr | +44% YoYEBITDA: ₹296 Cr | +55% YoYPAT: ₹208 Cr | +53% YoYEPS: ₹16.28Operating profit increased around 79% YoY, showing strong operating leverage.Key Positives 🟢
Electrical wire volumes increased 7% YoYStrong contribution from agricultural, industrial and solar applicationsOptical fibre cable volumes saw significant growth along with better realisationsStrong distribution network provides access to a wide retail and institutional customer baseGrowing demand from infrastructure, real estate, industrial expansion and renewable energy provides a long runway.Growth Triggers 🚀
Power infrastructure expansionRising residential and commercial constructionSolar and renewable energy projectsIndustrial and manufacturing capexData centre and digital connectivity expansionHigher optical fibre cable demandIncreasing premium product contributionWhat I’m Watching ⚠️
Copper prices remain elevated and can impact working capital and marginsQ1 margins benefited from strong operating performance, so sustainability needs confirmationCommunication cable growth needs to remain strongRaw material price volatility remains an important monitorableCapacity expansion needs to keep pace with demandOverall View:
Finolex Cables has started FY27 with a strong earnings performance, with revenue, EBITDA and PAT all showing healthy growth.
The combination of power infrastructure, housing, industrial capex, solar and digital connectivity gives the company multiple structural demand drivers.
For me, the key confirmation from here is continued volume growth + margin sustainability + higher contribution from value added products.
Technical Setup:
👉 Refer to the chart for my technical levels, support/resistance zones and price action view.
Disclaimer: Educational content only. Not investment advice. Please do your own research.
