RR Kabel Q4 Results: Stock falls 5% despite strong sales growth; higher costs keep margins flat

RR Kabel Q4 Results: Stock falls 5% despite strong sales growth; higher costs keep margins flat


R R Kabel Ltd reported a strong March quarter performance on April 30, driven by robust demand in its core wires and cables (W&C) business, even as margins remained largely unchanged and the stock declined following the results.

Net profit for the quarter rose 30.2% year-on-year to ₹168 crore, while revenue grew 33.6% to ₹2,964 crore. EBITDA increased 35% to ₹261 crore, though margins remained flat at 8.8% compared to the year-ago period.

The W&C segment continued to anchor growth, posting a 36.3% rise in revenue, supported by healthy demand across both domestic and export markets, along with steady institutional orders. Segment profitability grew 32.5%, aided by revenue expansion and price volatility management, while margins expanded by 143 basis points on an annual basis.

The fast-moving electrical goods (FMEG) segment saw steady revenue growth, backed by stable demand and ongoing distribution expansion. While profitability remained broadly in line with last year due to continued investments in brand building and growth, the segment reported an improvement in operating efficiencies, helping contain losses.

Managing Director Mahendrakumar Kabra said the quarter marked the highest-ever revenue for the company, reflecting strong demand and execution. “The Wires & Cables business remained the key growth driver, delivering strong growth across domestic and export markets with healthy profitability despite volatility,” he said, adding that export performance was particularly encouraging.

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The board recommended a final dividend of ₹5.5 per share for FY26, in addition to the interim dividend already paid.

Following the earnings announcement, shares of R R Kabel fell to an intraday low, declining nearly 5% on the NSE.



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