RR Kabel Q1FY27 net profit surges 129% on record revenue

2 min read     Updated on 27 Jul 2026, 03:40 PM
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AI Summary

RR Kabel delivered record Q1FY27 revenue of ₹31,682 Mn (+54% YoY) and net profit of ₹2,052 Mn (+129% YoY). EBITDA margins expanded to 9.0% driven by strong Wires & Cables performance and operational breakeven in the FMEG segment.

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rr kabel delivered its highest-ever quarterly revenue in Q1FY27, rising 54% year-over-year to ₹31,682 million, while consolidated net profit surged 129% to ₹2,052 million. The robust performance was driven by strong domestic demand, export growth, and improved operating leverage, with EBITDA margins expanding by 205 basis points to 9.0%. This marks a significant acceleration in profitability, underpinned by effective cost management and a favorable product mix.

The Board of Directors approved the unaudited standalone and consolidated financial results at a meeting held on July 27, 2026. The results were reviewed by the Audit Committee and subjected to a limited review by B S R & Co. LLP, the company’s statutory auditors, in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. An exceptional item charge of ₹138 million was recorded related to the statutory impact of new labour codes notified by the Government of India on November 21, 2025.

Financial Performance Highlights

Revenue from operations expanded significantly to ₹31,682 million in Q1FY27 compared to ₹20,586 million in Q1FY26. Operating EBITDA nearly doubled, increasing 99% YoY to ₹2,853 million. The company also reported a gross profit margin of 18.5%, up from 18.2% in the prior-year period.

Metric Q1FY27 (Consolidated) Q1FY26 (Consolidated) Change
Revenue from Operations ₹31,682 M ₹20,586 M +54%
Operating EBITDA ₹2,853 M ₹1,430 M +99%
Net Profit (PAT) ₹2,052 M ₹897 M +129%
EPS (Basic) ₹18.14 ₹7.93 +129%

The Wires & Cables segment contributed ₹28,800 million to revenue, up 57% YoY, accounting for 91% of total revenue. Segment profit before tax and interest rose 105% YoY to ₹2,854 million, with margins expanding to 9.9% from 7.6%. The Fast-Moving Electrical Goods (FMEG) segment saw revenue rise 28% YoY to ₹2,882 million and achieved operational breakeven, moving from a loss of ₹71 million in Q1FY26.

Working Capital and Balance Sheet

Working capital management remained efficient, with inventory days stable at 50 days and debtor days improving to 31 days from 34 days in March 2026. Creditor days stood at 48 days. The company’s debt-to-equity ratio remained low at 0.1x as of FY26, reflecting a strong balance sheet position. Return on Capital Employed (RoCE) for FY26 was 25.8%, up from 19.5% in FY25.

Regulatory Disclosures

RR Kabel disclosed potential future obligations under the Hazardous and Other Wastes (Management and Transboundary Movement) Amendment Rules, 2025. Effective April 1, 2026, cable producers must discharge Extended Producer Responsibility (EPR) obligations for recycling non-ferrous metal scrap. As the Central Pollution Control Board portal is not yet operational, the company cannot currently quantify the financial impact of these obligations.

What the Numbers Show

The disproportionate rise in net profit (129%) relative to revenue growth (54%) indicates substantial operating leverage. The improvement in segment profitability, particularly in the Wires & Cables division, suggests that cost management initiatives are yielding results amidst higher sales volumes. The stabilization of the FMEG segment, moving from a loss to breakeven, further supports the narrative of overall operational turnaround.

Historical Stock Returns for RR Kabel

1 Day5 Days1 Month6 Months1 Year5 Years
+1.27%+10.12%+3.58%+89.79%+74.62%+110.78%

How will the upcoming Extended Producer Responsibility (EPR) obligations for non-ferrous metal scrap recycling impact RR Kabel's future EBITDA margins and capital expenditure plans?

Given the stabilization of the Fast-Moving Electrical Goods (FMEG) segment at breakeven, what specific strategic initiatives are planned to drive this division into profitability in subsequent quarters?

With export growth cited as a key driver, how exposed is RR Kabel to potential global trade tariffs or supply chain disruptions that could affect its international revenue streams?

RR Kabel to discuss Q1 FY27 results on July 27 earnings call

1 min read     Updated on 23 Jul 2026, 04:48 PM
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AI Summary

RR Kabel has scheduled an earnings conference call for July 27, 2026, at 4:30 PM IST to review the unaudited standalone and consolidated financial results for Q1 FY27. The session will feature senior management, including the Managing Director and CFO, and follows Regulation 30 of SEBI regulations. Pre-registration is mandatory for participants accessing the call via domestic and international lines.

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RR Kabel will conduct an earnings conference call on July 27, 2026, to discuss the unaudited standalone and consolidated financial results for the quarter ended June 30, 2026. The meeting is scheduled to begin at 4:30 PM IST and will provide insights into the company's performance for Q1 FY27. Senior management, including the Managing Director and Chief Financial Officer, will address the proceedings.

The announcement was made in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The call offers stakeholders an opportunity to review the financial outcomes and operational highlights of the period directly with the leadership team.

Management Representatives

The discussion will be led by key executives from the company:

Representative Designation
Mr. Mahendrakumar Kabra Managing Director
Mr. Rajesh Kabra Joint Managing Director
Mr. Rajesh Jain COO – W & C Business
Mr. Jigar Mehta Chief Financial Officer

Access Details

Participants can join the conference call using the following contact numbers:

Type Number
Primary Number +91 22 6280 1550
+91 22 7115 8378
International Toll Free – Hong Kong 800 96 4448
International Toll Free – Singapore 800 101 2045
International Toll Free – USA 1 866 746 2133
International Toll Free – UK 0 808 101 1573

Pre-registration is required to attend the session. The company has facilitated a registration link for interested participants to secure their access ahead of the event.

Historical Stock Returns for RR Kabel

1 Day5 Days1 Month6 Months1 Year5 Years
+1.27%+10.12%+3.58%+89.79%+74.62%+110.78%

What are the expected key growth drivers for RR Kabel in Q1 FY27?

How might the company's performance impact its stock price post-earnings call?

What strategic initiatives will management highlight during the conference call?

More News on RR Kabel

1 Year Returns:+74.62%