Finolex Cables (FINCABLES) Q4 24/25 earnings summary

Executive summary

• Q4 FY25 revenue grew 14% year-over-year and 35% sequentially, reaching ₹1,595 crore, with full-year sales up 6% to ₹5,319 crore.

• Q4 FY25 profit before tax reached INR 208 crore, the highest quarterly figure to date, and profit after tax was ₹152 crore, up 4% year-over-year.

• New products contributed over ₹250 crore in revenue, growing 14% year-over-year.

• Strategic diversification into fast-moving electrical goods (FMEG) and continued focus on quality and innovation.

• Margins were under pressure due to commodity volatility and a shift in product mix, but management expects to recover some of this going forward.

Financial highlights

• Standalone Q4 FY25 PBT was ₹208.1 crore, up 6% year-over-year; full-year PBT fell 5% to ₹713.6 crore.

• Standalone Q4 FY25 PAT was ₹151.9 crore, up 4% year-over-year; full-year PAT declined 5% to ₹544.4 crore.

• Consolidated full-year PAT rose 8% to ₹700.8 crore; consolidated revenue was ₹5,318.9 crore, up 6%.

• Q4 FY25 EBITDA was ₹221 crore, up 6% year-over-year.

• Net cost increases for wires were about 12.5%-13% during FY25 due to commodity price volatility.

Outlook and guidance

• Management expects demand for wires to revive in the second half of FY25, with growth anticipated in FY26.

• Margin pressures are expected to ease, with gradual improvement projected.

• Utilization levels for optic fiber and cables are expected to improve in the current and next fiscal years, driven by BharatNet and other projects.

• Management expects improved market penetration from new products and recent capacity expansions.

• Ongoing volatility in commodity prices may continue to impact margins.