Finolex Cables (FINCABLES) Q3 25/26 earnings summary

Executive summary

• Q3 revenue reached INR 1,600 crore (₹1,598.6 Cr), up 35% year-over-year and quarter-on-quarter, with nine-month revenue at INR 4,370 crore (₹4,369.9 Cr), up 17% year-over-year.

• EBITDA for Q3 was INR 194 crore, up 12% year-over-year; PAT for Q3 was INR 136 crore (₹135.9 Cr), up 10% year-over-year; nine-month PAT rose 18%.

• Growth was driven by both price and volume, with wires and cables volumes up 25-28% and optic fiber cable volumes up 34% in Q3.

• Solar cables were introduced as a new product line during the quarter.

• Adjustments for new labour codes resulted in an additional INR 6 crore (₹6.01 Cr) charge to employee benefits in Q3.

Financial highlights

• Q3 total income was INR 1,639.99 crore, up from INR 1,226.85 crore YoY; nine-month total income was INR 4,575.23 crore.

• Cash flow from operations was INR 78 crore for Q3, up from INR 9 crore last year; nine-month cash flow was INR 220 crore, up from INR 75 crore.

• CapEx for the quarter was INR 36 crore; nine-month CapEx totaled INR 146 crore.

• Q3 profit before tax was INR 178.78 crore, with a margin of 11%.

• Q3 EPS (basic/diluted): ₹8.89 (up from ₹8.10 YoY); nine months: ₹30.19.

Outlook and guidance

• Preform Facility (Phase 1, 100MT) and Fiber Draw capacity expansion (2 million FKM) expected to be commissioned by March 2026.

• Fiber prices have risen from under $3 to nearly $5, with global shortages expected to benefit future quarters.

• Management expects robust demand from data centers, AI, and government programs like BharatNet.

• Inventory build-up in new product categories is expected to normalize post-implementation of new energy efficiency norms.

• New energy efficiency norms effective Jan 2026 are impacting volume growth in new product categories.