Paramount Communications delivered robust top-line growth in the first quarter of FY27, reporting standalone revenue from operations of ₹529.40 crore, a significant increase from ₹450.87 crore in the corresponding period last year. This revenue expansion drove substantial operating leverage, as earnings before interest, taxes, depreciation, and amortization (EBITDA) more than doubled to ₹30.31 crore from ₹11.73 crore year-on-year.
The company’s net profit rose to ₹19.70 crore compared to ₹19.00 crore in Q1FY26, representing a 3.7% increase. While operating profits surged, the bottom-line growth was more modest, indicating that factors such as finance costs and tax provisions absorbed a portion of the operating gains. Finance costs increased to ₹6.86 crore from ₹3.95 crore year-on-year, while income tax expense remained relatively stable at ₹6.84 crore. Other income declined sharply to ₹3.1 crore from ₹18.0 crore in Q1FY26.
Financial Performance
| Metric |
Q1FY27 |
Q1FY26 |
Change |
| Revenue |
₹529.40 crore |
₹450.87 crore |
+17.4% |
| EBITDA |
₹30.31 crore |
₹11.73 crore |
+158.4% |
| EBITDA Margin |
5.7% |
2.6% |
+310 bps |
| Net Profit |
₹19.70 crore |
₹19.00 crore |
+3.7% |
Consolidated figures mirrored the standalone performance closely, with consolidated revenue at ₹529.40 crore and consolidated net profit at ₹19.70 crore. The segment-wise breakdown reveals that the Wire and Cables segment contributed the entirety of the current quarter’s revenue, following the divestment of its Pipes business interest in November 2025. The Wire and Cables segment generated ₹529.40 crore in revenue and ₹30.31 crore in segment profit before finance costs and unallocated expenses.
Business Segments & Market Position
The investor presentation highlights the company's strong market position across key segments. In FY26, the US Exports segment generated ₹550 crore in revenue, growing 13.9% year-on-year. Paramount is the largest low-voltage (up to 600V) exporter from India to the US in CY2025, with eight active distributors and zero rejections over six years.
Domestically, the Institutional + Government segment recorded ₹1,183 crore in FY26 revenue, up 29.7% YoY. This was driven by a 37.3% growth in B2B Institutional sales to ₹1,001 crore, led by power cables. The B2G segment remained stable at ₹182 crore. The India B2C segment grew 10.6% to ₹179 crore, supported by 250+ channel partners and 10,000+ registered electricians via Paramount Parivar.
Earnings Call Highlights
During the Q1FY27 earnings conference call held on August 17, 2026, management provided deeper context on the financial results and future outlook:
- Export Recovery: Exports for the quarter stood at ₹155 crore, contributing more than 29% of revenue. This marks a sharp recovery from Q4FY26, where exports were compressed to ₹87 crore due to tariff uncertainties. Management expects exports to reach ₹700–800 crore for FY27 as the US market normalizes following the invalidation of IEEPA tariffs.
- Domestic Momentum: Domestic revenue reached ₹374 crore, accounting for over 70% of total revenue. B2B industrial business grew 92% YoY to ₹296 crore, while B2C retail grew 15% to ₹44 crore. Power cables alone accounted for 57.2% of Q1 revenues.
- Order Book: The order book as of June 30, 2026, stood at ₹615 crore, up from ₹583 crore at the end of March 2026. This comprises ₹518 crore in domestic orders and ₹97 crore in exports. Power cable orders constituted ₹455 crore, representing 74% of the total order book.
- Capacity Utilization: Existing plants operated at near 100% utilization. Metal throughput increased approximately 4% YoY compared to the same quarter last year.
Corporate Developments & Capex
In addition to financial results, the Board of Directors approved several key corporate actions during its meeting on August 14, 2026:
- Senior Management Appointment: Mr. Harish Bhardwaj, Executive Vice President-Exports, has been appointed as Senior Management Personnel (SMP) effective August 15, 2026. He brings over 35 years of experience in cables, wires, switchgear, and export operations across MEA, Europe, and Asia.
- Annual General Meeting: The 32nd Annual General Meeting is scheduled for September 26, 2026, at 12:30 pm via Video Conferencing / Other Audio Visual Means (VC/OAVM).
- Capital Raise: During the quarter, the company received application money for unlisted convertible warrants issued to promoters and equity shares issued to non-promoters on a preferential basis. Subsequent to the quarter end, the company allotted 72,00,000 warrants and 2,19,97,664 equity shares. A fresh equity raise of approximately ₹122 crore was completed, strengthening the balance sheet.
Narmadapuram Expansion
Management highlighted progress on the greenfield manufacturing facility in Narmadapuram, Madhya Pradesh:
- Status: Civil construction mobilization has begun, and most critical plant machinery has been ordered. Approximately ₹30 crore has been spent on the project so far.
- Timeline: Operations are expected to partly commence in Q1FY28.
- Revenue Potential: The plant is projected to generate ₹500 crore in revenue in FY28, scaling up to ₹1,200 crore by FY29 at 75% capacity utilization. Long-term asset turns are expected to reach 5.5x–6x after phase two completion.
- Funding: The project is funded through a mix of the recent equity raise, internal accruals, and modest debt. No debt has been taken specifically for this capex yet. The target is to keep the debt-equity ratio below 0.3x post-completion.
Balance Sheet & Liquidity
As of FY26, total assets stood at ₹1,129 crore against equity and liabilities of the same amount. Trade receivables increased significantly to ₹413 crore from ₹201 crore in FY25, while inventories decreased slightly to ₹285 crore. Short-term borrowings rose to ₹114 crore from ₹22 crore in the previous year. The debt-to-equity ratio improved to 0.15 from 0.04 in FY25.
Working capital metrics showed improvement during Q1FY27. The working capital cycle stood at 96 days, down from 101 days in Q4FY26. Receivable days improved to 64 days from 79 days at the end of March 2026, indicating normalization of the elevated receivables position flagged previously. Net worth strengthened from ₹778 crore at the end of March 2026 to ₹894 crore as of June 30, 2026.
What the Numbers Show
The data reveals a sharp improvement in operational efficiency driven by dual engines of domestic momentum and export recovery. While revenue grew by 17.4%, EBITDA grew by 158.4%, demonstrating significant operating leverage. However, net profit grew only 3.7%. This divergence suggests that while core operations became significantly more efficient, the benefit was not fully passed through to shareholders in this quarter, likely due to higher finance costs (up from ₹3.95 crore to ₹6.86 crore) and stable tax outflows. The complete focus on the Wire and Cables segment post-divestment has streamlined operations, contributing to the margin expansion from 2.6% to 5.7%. Additionally, the sharp decline in other income (from ₹18.0 crore to ₹3.1 crore) further muted bottom-line growth despite strong operational performance. The recovery in US exports, which had suffered negative margins due to tariffs in FY26, is now accretive to overall profitability, with management targeting a return to pre-tariff EBITDA margins of approximately 8% by the end of FY27.