Finolex Cables reported a 14.4% increase in net profit for the financial year ended March 31, 2026, reaching ₹622.87 crore compared to ₹544.40 crore in the previous year. Revenue from operations for FY26 grew 18.9% to ₹6,321.01 crore from ₹5,318.89 crore in FY25. The Board of Directors approved the audited standalone and consolidated financial results at its meeting held on May 28, 2026, and recommended a dividend of ₹9 per equity share (450%) for the fiscal year, subject to shareholder approval.

Financial Performance

For the quarter ended March 31, 2026, the company reported a net profit of ₹161.19 crore, up from ₹151.86 crore in the same quarter last year. Revenue for Q4 FY26 stood at ₹1,951.08 crore, compared to ₹1,594.58 crore in Q4 FY25. Profit before tax for the full year improved by 13.1% to ₹806.93 crore. On a consolidated basis, net profit for FY26 rose to ₹713.72 crore from ₹700.77 crore in the previous year, with total income increasing to ₹6,486.64 crore.

Segment Performance

The Electrical cables segment generated revenue of ₹5,490.23 crore for the year, while Communication cables recorded ₹500.33 crore. In Q4 FY26, Electrical Cable revenue reached ₹1,696 crore, a 22% sequential increase, while Communication Cable revenue stood at ₹162 crore, up 32% quarter-on-quarter. The company noted that the EHV joint venture with Sumitomo Electric turned profitable in FY26, reporting revenue of ₹452.8 crore and a profit before tax of ₹21.5 crore.

Operational Highlights

Copper prices remained volatile throughout the year, further complicated by geopolitical factors. Liquidity issues in the market during Q4 impacted volumes temporarily. However, all major product lines in the Automobile, Flexibles, Power & Control, and Solar categories contributed strongly to volume growth. The first phase of the Preform facility was commissioned during the year, with fiber draw capacity expansion expected to be completed by Q2 of the current fiscal.

Finolex Cables Limited has intimated the receipt of an order from the Additional Commissioner, Grade-II Appeal, Lucknow Sector -9, Uttar Pradesh, concerning a Goods and Services Tax (GST) demand for the financial year 2020-21. The order, dated May 21, 2026, was issued pursuant to a scrutiny of the company's GST returns for the specified period.

The regulatory disclosure details that the authority raised a demand due to alleged mismatches of Input Tax Credit (ITC) and credit notes. The company had previously filed an appeal against an earlier order regarding this matter. However, the Additional Commissioner has now rejected the company's appeal and upheld the order in its original form.

Financial Implications

The total tax demand quantified in the order amounts to ₹12,28,985. This figure is broken down into specific components, including the principal tax amount, accrued interest, and a penalty. The company has assessed the financial impact of this demand.

Management stated that the demand does not have a major impact on the operations of the company. Despite the order upholding the demand, the company noted that the option remains open to file an appeal before the Appellate Authority against the decision.