Q2 2025 Polycab India Ltd Earnings Call Transcript
Key Points
- Polycab India Ltd (BOM:542652) reported a 30% year-on-year increase in consolidated revenue for Q2 FY25, driven by strong performance across all business segments.
- The company achieved its highest-ever quarterly PAT of INR4,452 million, with a PAT margin of 8.1%.
- The wires and cables segment recorded a robust 23% year-on-year growth, with the domestic business registering a remarkable 28% year-on-year growth.
- Polycab India Ltd (BOM:542652) has a strong net cash position, improving to INR24.3 billion compared to INR16.4 billion in Q1 FY24.
- The company is on track to achieve its projected goal of INR200 billion in revenue for the current year, setting a strong foundation for future growth.
- EBITDA margin declined by 90 basis points sequentially, primarily due to increased advertising and promotional expenses in the FMEG segment.
- The retail wires business faced heightened competitive intensity, leading to margin compression.
- Lower contribution from the higher-margin international business impacted overall margins, with international business contribution dropping from 9.3% in Q2 FY24 to 6.1% in Q2 FY25.
- Higher losses in the FMEG business were reported due to increased organizational expenses.
- The high growth in lower-margin institutional business relative to the channel business also contributed to the decline in margins.
Ladies and gentlemen, good day, and welcome to the Polycab India Limited Q2 FY25 earnings conference call. (Operator Instructions) Please note that this conference is being recorded.
I now hand the conference over to Mr. Gandharv Tongia, Executive Director and Chief Financial Officer, Polycab India Limited. Thank you, and over to you, sir.
Good afternoon, everyone, and thank you for joining us. I hope all of you are staying healthy and safe. I'm Gandharv Tongia, Executive Director and CFO at Polycab India Limited.
On this call, we shall discuss the Q2 FY25 results, which were approved in the Board meeting held yesterday. We will be referring to the earnings presentation, financial results, and financial statements, which are available on the stock exchanges as well as on the Investor Relations page of our website.
Joining me today from the management team, we have a Chairman and Managing Director, Mr. Inder Jaisinghani; our Head, Investor Relations, Mr.
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
