Susan Electricals approved the acquisition of land in Uttar Pradesh for approximately ₹22 crore to expand its manufacturing facilities. The Board of Directors also ratified the cost audit report for the financial year ended March 31, 2026.

The transaction involves purchasing approximately 1.96 hectares of land situated at Mauza Jaunmani, District Baghpat. The company plans to use the site to scale up production capacity and business operations. The purchase price is fixed at ₹22,00,00,000, payable in cash.

Transaction Details

The seller is Mr. Parveen Kumar Jain, son of Mr. Sudershnan Lal Jain. The filing confirms that the seller has no relationship with the company, its promoters, directors, or key managerial personnel. Consequently, the transaction does not constitute a related party transaction under SEBI regulations.

Completion of the deal is subject to mutual agreement between the parties and the fulfillment of applicable legal, statutory, and registration formalities. The board did not disclose a specific indicative timeline for closing the acquisition beyond these regulatory requirements.

Regulatory Compliance

The approval was given during the board meeting held on September 16, 2026, which concluded at 3:40 pm. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The cost audit report was prepared by the company’s cost auditors in accordance with the Companies Act, 2013, and recommended by the Audit Committee.

Susan Electricals reported a significant turnaround in its first quarter of FY27, posting a net profit of ₹639.13 lakh compared to a net loss of ₹41.55 lakh in the same period last year. The Ghaziabad-based wire and cable manufacturer also saw its revenue from operations surge by 278.95% year-on-year to reach ₹9,535.68 lakh.

The company, which manufactures winding wires, conductors, and power cables for government utilities and EPC firms, attributed the strong performance to robust execution and an evolving product mix. Operating profit expanded sharply by 980.20% to ₹1,137.34 lakh, reflecting improved operational efficiency across its three manufacturing units.

Financial Performance

The quarter marked a distinct shift in profitability metrics for Susan Electricals. While revenue nearly quadrupled compared to Q1FY26, the margin expansion was even more pronounced due to the strategic pivot towards higher-value products.

Operating margins improved by 774 basis points to 11.90%, up from 4.18% in the previous year. Similarly, the PAT margin swung from -1.65% to 6.70%, indicating that the revenue growth was accompanied by substantial cost efficiencies or better realizations.

What the Numbers Show

The financial improvement is directly linked to a deliberate shift in the company's product mix. In Q1FY27, LT Cables & Conductors accounted for 65.68% of total revenue, a significant increase from 46.70% in Q1FY26. Conversely, the share of Winding Wires, traditionally a lower-margin commodity product, dropped from 47.74% to 24.39%. This structural change towards value-added cable products appears to be the primary driver behind the margin expansion, as higher-value HT cables and MVCC also gained share, rising from 2.07% to 7.11%.

Order Book and Capacity Expansion

Susan Electricals highlighted strong near-term visibility with an unexecuted order book of approximately ₹142.39 crore as of June 30, 2026. A significant portion of this backlog is expected to be executed within the next three months. Additionally, the active order pipeline stands at roughly ₹150 crore, bringing total order visibility to ₹292 crore.

To meet rising demand, the company is proceeding with capacity expansion plans aimed at commercial operations by February 2027. The project, estimated at ₹1,080.96 lakh, will add 4,500 km per annum of capacity, increasing installed capacity from 7,500 km to 12,000 km per annum. This represents a 60% increase in production capability, funded largely through net proceeds from the recent offer and internal accruals.