R R Kabel (RRKABEL) Q3 25/26 earnings summary

Executive summary

• Achieved record nine-month revenue, EBITDA, and PAT, driven by strong demand in wires and cables and operational efficiencies.

• Revenue for Q3 FY26 grew 42.3% year-on-year, with EBITDA up 86% and PAT up 72.4% YoY, including an exceptional item related to new labor code.

• Domestic consumption improved, supported by better household confidence and post-tax income normalization, fueling demand in construction-linked categories.

• Macro environment stabilized with easing inflation and improved credit availability, benefiting infrastructure and housing sectors.

• Board approved unaudited standalone and consolidated financial results for the quarter and nine months ended 31 December 2025.

Financial highlights

• Q3 FY26 consolidated revenue: ₹2,535.9 Cr, up 42.3% YoY; nine-month FY26 revenue: ₹6,758.2 Cr, up 25.1% YoY, both highest-ever.

• Q3 FY26 EBITDA: ₹206.4 Cr (8.1% margin), up 86% YoY; nine-month FY26 EBITDA: ₹526 Cr, up 80% YoY.

• Q3 FY26 PAT: ₹118.2 Cr (4.7% margin), up 72.4% YoY; nine-month FY26 PAT: ₹324.3 Cr, up 77.7% YoY.

• Basic EPS for Q3 FY26 was ₹10.46, compared to ₹6.07 in Q3 FY25; nine-month EPS was ₹28.68, up from ₹16.16 YoY.

• Exceptional item of ~₹19 Cr in Q3 FY26 due to new labor code implementation reduced profit before tax.

Outlook and guidance

• Near-term unevenness expected in some segments, but long-term fundamentals for the electrical industry in India remain strong, supported by infrastructure, housing, and electrification trends.

• Targeting 100 basis point annual improvement in EBITDA margins, aiming for double-digit EBIT margins (10.5%) in wire and cable business by FY28.

• FMEG segment expected to achieve EBIT break-even in Q4 FY26 and 5-6% EBIT margins by FY28.

• Management highlights continued strong demand momentum in wires and cables and operational improvements in FMEG, with a focus on cost reduction and efficiency.

• No explicit forward-looking guidance provided, but strong year-over-year growth in revenue and profit indicates positive business momentum.