RR Kabel Reports Strong Q2 Results, Targets Double-Digit Growth in Wires and Cables Segment

2 min read     Updated on 31 Oct 2025, 07:23 PM
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Overview

RR Kabel Limited announced robust Q2 FY26 financial results, with revenue increasing 19.5% YoY to ₹2,163.80 crores and PAT surging 134.7% to ₹116.30 crores. The wires and cables segment saw 22.3% revenue growth, while the FMEG segment faced challenges. The company declared an interim dividend of ₹4 per share. RR Kabel outlined growth strategies including sustained double-digit expansion, margin improvement, and strengthening export operations.

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*this image is generated using AI for illustrative purposes only.

RR Kabel Limited , India's leading exporter of wires and cables, has reported robust financial results for the second quarter of fiscal year 2026, while outlining ambitious growth plans for its core business segments.

Q2 FY26 Financial Highlights

RR Kabel has delivered impressive financial performance for Q2 FY26:

Particulars (₹ in Crores) Q2 FY26 Q2 FY25 YoY Growth
Revenue from Operations 2,163.80 1,810.10 19.5%
Operating EBITDA 176.10 85.60 105.8%
EBITDA Margin 8.1% 4.7% +341 bps
Profit After Tax (PAT) 116.30 49.50 134.7%
PAT Margin 5.4% 2.7% +264 bps

The company's revenue grew by 19.5% year-on-year, driven by strong demand in the wires and cables segment. Notably, the operating EBITDA more than doubled, reflecting significant improvement in operational efficiency.

Segment Performance

Wires & Cables

The wires and cables segment, which forms the backbone of RR Kabel's business, showed robust growth:

  • Revenue increased by 22.3% YoY to ₹1,971.20 crores in Q2 FY26
  • Segment profit before tax and interest surged by 120.5% to ₹180.40 crores
  • Volume growth of 16.1% YoY

Fast-Moving Electrical Goods (FMEG)

The FMEG segment faced some challenges:

  • Revenue declined by 2.9% YoY to ₹192.60 crores in Q2 FY26
  • Segment reported a loss of ₹11.70 crores, remaining steady compared to the previous year

Growth Strategy and Outlook

Mahendrakumar Kabra, Managing Director of RR Kabel, commented on the results: "Q2 FY26 was a landmark quarter for RR Kabel as we achieved our highest-ever half-yearly revenue along with strong profitability growth. This strong performance was primarily driven by the resilience and expansion of our core wires and cables business, which remains the backbone of our company's growth strategy."

The company has outlined several key growth initiatives:

  1. Sustained Double-Digit Expansion: RR Kabel aims to maintain strong growth in the wires and cables segment, with volume growth exceeding 16%.

  2. Margin Improvement: The company plans to enhance margins through operational efficiencies and economies of scale.

  3. FMEG Portfolio Scale-up: Despite current challenges, RR Kabel intends to expand its Fast Moving Electrical Goods portfolio.

  4. Export Operations: Strengthening export operations to capitalize on global demand.

  5. Working Capital Management: Optimizing working capital to improve financial efficiency.

  6. Market Penetration: Increasing brand presence in tier-2 and tier-3 markets to capture growing demand.

Dividend Announcement

The Board of Directors has declared an interim dividend of ₹4 per equity share (80%) for the financial year 2025-26, with the record date set for November 7, 2025.

With its strong financial performance and focused growth strategy, RR Kabel appears well-positioned to capitalize on the increasing demand in the wires and cables industry, while also addressing challenges in its FMEG segment.

Investors and market watchers will be keen to see how the company executes its expansion plans and manages potential headwinds in the coming quarters.

Historical Stock Returns for RR Kabel

1 Day5 Days1 Month6 Months1 Year5 Years
+1.98%-10.39%-2.44%+10.09%+56.56%+14.33%

RR Kabel Reports Strong Q1 Performance with 13.9% Revenue Growth

2 min read     Updated on 31 Jul 2025, 11:32 PM
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Reviewed by
Jubin VScanX News Team
Overview

RR Kabel Limited announced robust Q1 financial results. Consolidated revenue increased by 13.9% to ₹2,058.60 crore. Operating EBITDA grew by 49.9% to ₹143.10 crore, with margin improving to 7.0%. Profit After Tax rose by 39.4% to ₹89.80 crore. The Wires & Cables segment saw 16% revenue growth to ₹1,833.50 crore, while the FMEG segment reduced losses. The company maintained a healthy balance between domestic and export revenues, with exports contributing 29% to total revenue.

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*this image is generated using AI for illustrative purposes only.

RR Kabel Limited , India's leading wire and cable manufacturer, has announced its financial results for the first quarter, showcasing robust growth and improved profitability.

Strong Revenue Growth

The company reported a consolidated revenue of ₹2,058.60 crore for Q1, marking a significant 13.9% increase compared to ₹1,808.10 crore in the same quarter last year. This growth was primarily driven by strong performance in the Wires & Cables (W&C) segment.

Improved Profitability

RR Kabel's operating EBITDA for Q1 stood at ₹143.10 crore, representing a substantial 49.9% year-on-year growth. The EBITDA margin improved by 167 basis points to 7.0%, up from 5.3% in the corresponding quarter of the previous year.

The company's Profit After Tax (PAT) saw an impressive 39.4% increase, reaching ₹89.80 crore compared to ₹64.40 crore in the corresponding quarter of the previous year. The PAT margin also improved by 80 basis points to 4.4%.

Segment Performance

Wires & Cables Segment

The W&C segment, which forms the core of RR Kabel's business, delivered a strong performance:

  • Revenue grew by approximately 16% year-on-year to ₹1,833.50 crore
  • Segment profit before tax and interest increased by 23.1% to ₹139.10 crore
  • Segment profit margin improved to 7.6% from 7.2% in the corresponding quarter of the previous year

Fast-Moving Electrical Goods (FMEG) Segment

The FMEG segment showed signs of improvement:

  • Revenue remained relatively flat at ₹225.10 crore
  • Segment loss reduced substantially to ₹7.10 crore from ₹20.70 crore in the corresponding quarter of the previous year
  • Margin improved to -3.2% from -9.0% in the same quarter last year

Management Commentary

Mahendrakumar Kabra, Managing Director of RR Kabel, commented on the results: "We are pleased to begin the fiscal year on a strong footing, delivering broad-based growth across key financial and operational parameters. This performance reflects our sharp execution focus, the resilience of our business model, and the continued trust our customers place in us."

He further added, "Our wires and cables segment delivered strong growth, supported by infrastructure expansion, increased electrification, favorable copper prices and improved demand, especially in the export market. The FMEG segment maintained stable revenues while significantly reducing losses, reflecting improved operational efficiency and continued progress toward profitability."

Operational Highlights

  • The company maintained a healthy balance between domestic and export revenues, with exports contributing 29% to the total revenue in Q1.
  • Working capital management improved, with inventory days reduced to 56 days from 60 days in the previous year.

Outlook

RR Kabel's strong start to the fiscal year positions it well for continued growth. The company's focus on operational efficiency, coupled with favorable market conditions in the wires and cables segment, is expected to drive further improvements in profitability.

As India's largest exporter of wires and cables, RR Kabel is well-positioned to capitalize on both domestic and international growth opportunities in the electrical products market.

Note: All figures are based on consolidated financial results for Q1 ended June 30.

Historical Stock Returns for RR Kabel

1 Day5 Days1 Month6 Months1 Year5 Years
+1.98%-10.39%-2.44%+10.09%+56.56%+14.33%

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