Devendra Goel, Managing Director of Lumino Industries, said the company has maintained a growth rate of around 25–27% compound annual growth rate (CAGR) over the past decade, with earnings before interest, taxes, depreciation and amortisation (EBITDA) margins of 10–11%.
The company is targeting a 70–75% share of revenue from products going forward, compared with 25–30% from EPC. The shift is aimed at reducing the working-capital pressure associated with EPC projects and building a business with faster order execution and better cash flows.
“Strategically, we are reducing our exposure on EPC and trying to become more of a product company,” Goel said.
One of the key products driving this transition is high-temperature, low-sag (HTLS) conductor, which is used in the power transmission segment. Goel said Lumino is among only four or five manufacturers in India that have proven capabilities to design, manufacture, supply, install and obtain performance certification for HTLS conductors. The company expects demand for the product to grow, while its higher margins are also supporting overall profitability.
Lumino is also expanding its product portfolio with HT cables in West Bengal, which will allow it to manufacture cables for 11 kV, 33 kV and 66 kV applications. Goel said the new products should help the company improve margins, reduce working-capital requirements and strengthen cash flows.
The company is also using its ₹700-crore initial public offering (IPO) to strengthen its balance sheet. The issue comprises ₹500 crore of fresh shares and ₹200 crore of an offer for sale. Of the fresh proceeds, ₹385 crore will be used to repay debt, ₹15 crore for revamping an existing manufacturing facility and around ₹140 crore for general corporate purposes. Lumino’s current borrowing cost is around 8.5%.
Its order book stands at around ₹3,000–3,150 crore, although more than half is currently from EPC. Goel said the difference in execution timelines is important: EPC orders typically take 24–36 months, while product orders can be executed in around three to four months.
Working capital has been a pressure point because of delayed payments on distribution EPC projects. Trade receivables rose to around ₹900 crore in 2025-26 (FY26) from ₹460 crore in 2023-24 (FY24). However, the company has completed those projects and expects payments from electricity boards to improve in the second half of the current financial year.
“We have completed those jobs. So, this financial year we expect a lot of payments coming in,” Goel said.
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With the shift away from distribution EPC, the company expects debtor days to gradually decline and operating cash flow to improve. Goel said the management will continue to focus on maintaining its 10–11% EBITDA margin range, while newer products could provide further margin improvement.
“Very soon we’re coming up with HT cable in West Bengal,” Goel said, pointing to the company’s next step in expanding its higher-margin product portfolio.
