Thank you. Good afternoon everyone, and I extend a very warm welcome to all participants on the Q4 and FY '26 earnings conference call of RR Kabel Limited.

Today on this call, we have Mr. Mahendrakumar Kabra, Managing Director; Mr.

Rajesh Kabra, Executive Director; Mr. Rajesh Jain, Chief Operating Officer; and Mr.

Jigar Mehta, Chief Financial Officer. Before we begin this call, I would like to give a short disclaimer.

This call may contain some forward-looking statements which are completely based upon our beliefs, opinions, and expectations as of today. These statements are not guarantees of our future performance and involve unforeseen risks and uncertainties.

With this, I hand over the call to Mahendrakumar Kabra ji. Over to you, sir.

Thank you.

Hello everyone, and good afternoon. On behalf of RR Kabel Limited, I warmly welcome all participants to our quarter four and financial year '26 financial results conference call.

On this call, I have with me our Rajesh Kabra, Mr. Rajesh Jain, and Mr.

Jigar Mehta. The quarter was marked by heightened geopolitical tensions which created some uncertainty in global trade conditions and volatility in input cost.

Despite this, India continue to benefit from steady demand drivers led by infrastructure, housing, and industrial activity. Industry demand remained supportive while export market also continued to perform well.

Against this backdrop, we are pleased with the way the business performed during the quarter as well as across the full year. We delivered our highest ever quarterly and annual revenue supported by steady demand and disciplined execution across the business.

Our wires and cable business remained the key growth driver for the company and delivered a strong performance and record profitability during the quarter and for the full year. In the FMEG segment, market conditions remained competitive while demand trend continues to be selective.

Revenue remained steady on a year-on-year basis supported by stable demand across key categories and continued distribution expansion. We remain focused on optimizing the portfolio and improving profitability over time.

In line with our history of creating value for our shareholders and consistently paying dividend, it pleases me to announce that the Board of Directors of the company has approved a dividend of INR 5.50 per share, taking the total dividend to ₹9.50 per share for FY '26. With that, I would like to hand over the call to Mr.

Rajesh Kabra for further insights. Thank you.

Thank you. The wires and cable segment maintained strong momentum during this quarter supported by steady demand across domestic and export markets.

While domestic business has shown healthy growth, export growth also remained encouraging despite the disruption in the Middle East. This performance was supported by our wide distribution network, strong brand equity, and diversified presence across retail, institutional, and international markets.

We continue to focus on scaling our B2B business by strengthening availability and distribution. Last year, we had set a three-year roadmap under Project Rise with targets of 18% CAGR in wires and cables along with 25% CAGR in FMEG leading to a cumulative 2.5 times EBITDA growth.

Based on progress achieved so far and the performance delivered by the business, we remain on track towards these targets through focused execution. Looking ahead, we will continue to invest in our brand, deepen customer engagement, and pursue growth opportunities across the domestic and international markets while creating sustainable long-term value.

With that, I would now like to hand over the call to Mr. Rajesh Jain for further financial insights.

Thank you.

Thank you, Rajesh ji. The quarter witnessed a mixed but supportive environment for the wires and cable industry.

Domestic demand remained healthy while export demand was relatively stronger during the quarter, benefiting from our established global presence, product quality, and diversified market reach. At the same time, raw material prices, particularly copper, aluminum, and PVC, remained volatile during the period while currency movement and freight cost added pressure across the value chain.

In this environment, timely pricing actions, disciplined procurement, and effective, efficient execution remained critical for sustaining performance. Against this backdrop, RR Kabel delivered its highest ever quarterly and annual revenue.

Revenue for Q4 '26 stood at ₹2,964.1 crore, up 33.7% year-on-year. Full year revenue stood at ₹9,722.4 crores, reflecting growth of 27.6% over the previous year.

Growth was supported by strong performance in the wires and cable business across both domestic and export markets. EBITDA for the quarter stood at ₹263.5 crores, up 34.6% year-on-year, while PAT stood at ₹168 crores, up 30.1% year-on-year.

Profitability improved on the back of operating leverage and disciplined cost management despite raw material volatility and global turmoil. For the full year, EBITDA stood at ₹789.1 crores, up 61.8% year-on-year, and PAT stood at ₹492.2 crores, up 58% year-on-year.

Now coming to segment performance. The wire and cable segment remains the cornerstone of our business, contributing significantly to revenue.

In FY '26, 90% of our revenue was generated from this segment, while the FMEG segment contributed the remaining 10%. Revenue for wire and cable in Q4 FY '26 stood at ₹2,666.4 crores as compared to ₹1,956.2 crores in Q4 FY '25, growing 36.3% year-on-year.

For FY '26, revenue stood at ₹8,763.7 crores as compared to ₹6,688.8 crores in FY '25, reflecting 31% growth year-on-year. Segment profit for Q4 '26 stood at ₹257.3 crores compared to ₹194.1 crores in Q4 FY '25, up 32.5% year-on-year.

For FY '26, segment profit stood at ₹775.6 crores compared to ₹496.5 crores in FY '25, up 56.2% year-on-year, supported by scale benefits, effective management of price volatility, and operational efficiency. In the FMEG segment, revenue for the quarter stood at ₹297.7 crores as compared to ₹261.6 crores in Q4 '25 with growth of 13.8% year-on-year.

For FY '26, revenue stood at ₹958.6 crores as compared to ₹929.5 crores in FY '25, a steady growth of 3% year-on-year despite seasonal headwinds. Performance was supported by stable demand across key categories and expansion in distribution.

Importantly, FMEG losses have reduced as compared to last year, and we remain on track to achieve breakeven in FY '27. Our balance sheet and working capital position remained healthy during the year, supported by tight control on inventory and receivables.

Our ₹1,200 crores capex program for FY '26 to FY '28 is progressing as planned. The program is primarily focused on expanding cable capacity along with wire capacity and improving operating efficiencies.

Once fully commissioned, this expansion is expected to support higher volumes, faster executions of cable orders, and better operating leverage over time. Going forward, our focus remains clear: to further strengthen our position in the wires and cables industry, improve margins through scale and product mix, and move the FMEG business steadily towards profitability.

We remain committed to delivering consistent operating performance while executing initiatives under Project Rise. Through disciplined execution, we remain confident of achieving the growth and profitability milestones set out in our strategic roadmap.

With this, I now request to open the floor for the question and answers.

Thanks for the opportunity. Sir, just wanted to understand, we have definitely clocked strong revenue growth in difficult business environment.

If you can throw some light how the quarter panned out, especially on the export business, domestic we were hearing that let there was a lot of channel inventory correction, but if you look at the volume growth seemed to be still in double digits during the quarter. Probably how the quarter panned out and how should we look at from a near-term point of view, especially from for 1Q, if you can highlight over there?

Thanks Manoj. Actually, if you see, always Q4 in this industry remains with higher volumes and the same repeated this year also.

Whatever initiatives we are taking to increase our volume growth, we were able to achieve this kind of volume growth and near future of it remains to be positive and we remain on our growth track. Of course, there was some disturbance in our export segment and since now this war is also prolonging, there may be some impact in short term, but in long term, we are quite positive.

Should we expect probably high single-digit to low double-digit volume growth to continue in the coming quarters as well?

For particularly now quarter to quarter may be very tough to predict, but on yearly basis whatever the prediction we have given on our yearly basis volume growth will be always remain better than will try to have better than industry growth and whatever we have projected in our Project Rise in the range of 16%, 18%.

Sure, sir. Sir, one bookkeeping question.

If you can highlight, inventory in absolute terms has gone up significantly from roughly around 10.1 billion to 17.7 billion, and so if you can highlight On the other hand, payables have also increased. If you can highlight what's happening over there, so that would be helpful.

One thing our SIT have increased. Lot many exports were remained in transit also during the period.

As in international business always till this material reaches to customer, it remains in my sales in transit only. My inventory is a bit high.

When you compare with last year figure, of course, metal prices have rised by almost 20%, 30%. There is impact on value side also.

Otherwise in volumes, we are quite on track with our normal inventory records as per increasing volume side of the business.

Okay. Because what I look at is number of days also in the presentation we have highlighted it has increased by only roughly around eight days.

Can you

That's what I'm telling key since my SIT of exports have increased, there may be some impact of two, three days in that terms. Since we are export-heavy company, always major part of our inventory is covered through SIT also.

Otherwise, as rightly said by you also,

it's

only 8% eight days impact in my inventory days. No,

the reason why I was saying is when I calculate in at COGS or even at revenues, the number of days seems higher versus what we have highlighted in presentation. Just wanted to understand how we calculate this inventory days.

Inventory days are calculated on the basis of opening and closing inventory average days are calculated. It is standard practice.

Whatever we are counting till now, it's consistent practice. There is no change or it's accurate days.

Sure, sir. Got it, sir.

Sir, on the margin side, we have been aspiring to improve margins by roughly around 100 basis point on YoY basis, and somewhere for FY '28, we have been targeting 10.5% margin, especially into wires and cables business segment. If you can throw some light, probably that 100 basis point of margin expansion continues to remain on track.

Also on the FMEG side, if we look at, we were looking to achieve breakeven a bit earlier, there has been some delay. Obviously, the macro environment also remains a bit challenging.

If you can throw some light on both the business segment on segmental margins. That's my last question, sir.

Yeah. If you see in Project Rise, we had planned to have improvement of 300 basis point in my wire and cable margins by FY '28.

Like if you see current year already we are on track. We have achieved the almost 130% kind of 130 basis point improvement in margins.

Even going forward, we are like quite positive to achieve our target of 10.5% EBIT margins in wire and cable segment by FY '28. Same way, of course in FMEG there are some impact.

What we have planned to achieve breakeven in March '26 could not be achieved and there were two major reasons. One, of course, like the volumes what we were expecting due to bad weather and it could not be achieved.

At the same time input cost like there was a major impact in FMEG input cost where in that industry it takes some more time to pass on. Therefore, our gross margins were impacted in Q4 to some extent.

Therefore, now we have now we are targeting to achieve breakeven in FY '27.

Sure, sir. Very clear, sir.

Thank you, and wish you all the best for future performance. Thank you.

Thank you for opportunity. My first question is related to the volume.

If you can give some color on the overall wire and cable volume, how has been, and especially the domestic one?

In this year quarter, our volumes were around 10% in volume terms. If I see in wires, it was in single mid-digit, but in cables, it was in high teens.

If I see from domestic and export, then export volumes were a bit higher than domestic in this quarter.

On the export side, that's the revenue also up by 39% around, if I calculate. Even after disruption or the shipment or the cost increase, even after that you are delivered a very strong number.

Do we believe that the impact of the export we will see in the Q1 more than the Q4?

Comparatively when you will compare with Q4, of course there will be it seems there may be some more impact in Q1 of this year. Reason being that in month of March, we saw major impact and since it is still continue, there will be higher impact in this quarter, it seems.

It depends how long this war will go on.

Next question is related to the expense, because if I look at your margin profile has been quite strong and as a percent of sales, other expenses has gone down. Is there anything any expense item in the other expenses which has restricted in the quarter?

No, our business was as usual and since there was more impact in value terms where prices have risen, so as a percentage our expenses have come down. At the same time, of course we are working how efficiently we can increase our productivity, how can we have better controls of expenses.

These are normal exercise, but there is no one-off cut in my expenses or curtailed down in expenses. These are business as usual.

Lastly, sir, how has been the way forward '27 the capex plan is? For FY '27.

We are on track what we have planned investment of 1,200 crores, out of which almost 300 350 crores we have invested in FY '26 already and this year also there will be a major expansion during this year where our capex outflow will be more.

Okay. Majority of 1,200 would be in this financial year.

Yeah.

Yeah. Thank you, sir, and all the best.

Okay.

Good evening, sir. Thank you for the opportunity and congratulation for excellent earning.

Being very remarkable performance given the current headwind. Just wanted a clarification.

You said, the inventory days went up because the goods are in transit for the export, right? At the same time, you also highlighted the impact will be more in this quarter.

If you could just clarify is it because if we are assuming that it will be for the entire 3 months the issues and hence the impact, or have I understood wrongly?

Achal, there are two issues. One, since export could not take effect from my factory in the month of March, whatever inventory we kept ready for those dispatches also increased my inventory.

At the same time in February and what exported we made, that could not reach to their destination. Few of now those consignments are on the way and will reach in this quarter also.

At the same time, since physical sales was not possible in the month of March to some extent and even in April, particularly related to Middle East area, there will be some impact on my sales or revenue side. I hope this clarifies.

Just a follow-up on that, if I may, sir. Given it couldn't get delivered before 31st March, now that will also get accounted for in the month of April, right?

I presume that whatever volume loss or whatever issues we have on the west in the Middle East, that much capacity or volume could get diverted to other global customers. In that case, the impact should not be very large.

Is that understanding right?

Yes, to some extent you are right. See, what happened, since in the month of March suppose we could not make exports to Middle East, this will now not come to my revenue in the month in this quarter.

At the same time, though we have diversified export market, even domestic market, and that is one of the reason if you see, in spite of very heavy sales to Middle East, still the impact is very least on our top line. Same there will be some impact.

I cannot deny because if one particular geography is contributing to great extent to your revenue, there will be some impact. Of course, this will be compensated through some different product category also and different geography of markets also, be it domestic or export.

Got it. The second question I had was is there any inventory gain etc.

in the fourth quarter?

As it's always continuous process where you keep having some impact of inventory either in the gain side or sometimes negative side also. In this quarter, yeah, we had some positive impact in my profitability, but it is in normal course of business.

Would you be able to quantify, sir?

No, not specifically it is not because since it is continuous

process,

not able to quantify. It is positive impact marginally.

Got it. Sir, if you could call out, the cables capacity expansion, because wires are, given wires we always have surplus capacity.

I'm more curious to understand the cables capacity expansion timeline. Would it be possible to know, since the Project Rise, when and how much capacity got added or getting added?

Actually, we have planned our this capex plan in such a way that every six months we will keep adding few capacities. It will be not one overnight I will get big capacity and because overnight neither I can build sales side and neither capacity also.

Which when we have targeted 18% volume growth year-on-year, or in which also majority will be through cable side, it means and since in cable already we are at optimum utilization of more than 90%, to meet this my growth plan, we will keep adding capacity. In every six months, we'll keep adding few capacities.

Understood. Just last question, if I may ask, particularly on cables front, how is the demand supply situation?

Do you see a risk of oversupply or because every single player is adding large capacity. Do you see a risk of excess capacity in next 12, 15 months in cable?

No, particularly for us, we do not see any such kind of challenge because overall we are establishing our B2B business line and particularly growth plan in this area, and I don't find there will be excess capacity looking to the overall demand in cable side of the business.

Got it. I'll fall back.

I have more questions, but I'll fall back in the queue. Thank you so much, sir.

Good evening. Thank you for the opportunity.

Sir, just to get this number right, volume growth for cable and wire for fourth quarter was 10%. What was it for full

year? Full year, it is around 16%.

Okay. Just in terms of outlook for next year, for cable and wire and FMEG separately, cable and wire we should look at double-digit volume growth between 10% to 15%.

FMEG, purely because FY '26 was a weak year and you've also mentioned that some price hikes will actually go through in fiscal '27, what should be the revenue growth number we should expect for FMEG?

In wire and cable, already like we have projected a volume growth of around 18% on CAGR basis CAGR basis. We are on track like in this year also we achieved on my targeted number also.

Next year also we are quite hopeful to achieve our targeted figures of 16% to 18% volume growth. In FMEG, of course last year was not very good, but still I think it is like at par or better than industry average whatever growth we have done if I see nine-month figure of peers also.

It seems in this year if everything remains same, then we are targeting value growth of around 20% to 25% in FMEG business.

Got it, sir. Because these new capacities come on stream every six months, it gets difficult for us analysts to calculate what is the new capacity and new utilization for the company.

Let's say, for example, as on 31st March 2026, based on the capex we've done so far, what is the peak revenue for cable and wire for the entire company? Could we get that number assuming that we utilize 90%, 95% of capacity as of 31st March?

What could based on current copper, aluminum pricing, what could be the peak revenue?

Rahul, it becomes very difficult to calculate because revenue depends on so many things. Of course, one is raw material prices, second is product mix also.

It will be very tough to predict that kind of numbers.

Okay. Even if we assume current pricing, still we did 9,000 crores cable and wire sales this year, 8,700 crores to be precise.

Normally that's why we always say, okay, based on these figures also, we do not give annual in revenue in rupees guidelines because on volumes what we are focusing and always we say now we if we are having estimates of 16% to 18% volume growth, then revenue we think about on same pricing terms also. Because on month-on-month our raw material prices keep changing, it is very tough to predict in financial terms.

Got it, sir. No worries.

Just lastly on April 2026, I know it's just 30 days into the business, but qualitatively if you could just share what's really happening on cable and wire in the domestic market. How is it behaving purely because there's too much volatility on demand, on costs, everything, right?

Just some qualitative statements on what's really happening with industry or with RR Kabel for April '26 for cable and wire separately.

Business is on normal, even in April we have witnessed normal whatever it goes year-on-year basis. It's normal business environment.

Apart from the export what we could not make to Middle East, it's quite normal business.

Got it, Rajesh ji. Thank you so much, and best wishes for fiscal '27.

Thank you.

Thank you for the opportunity. Sir, the first question is on the demand side.

If you can highlight how was the demand for domestic in March? Because at least what we understand is even domestic demand was impacted in March.

If you can, quantify that. Also how the channel inventory was at the end of March?

Have you seen any channel destocking? That would be the first question.

Yeah. Ashish, if you see, my numbers are already reflecting that March or particularly this quarter we had a good growth.

Even March was also a normal month. Of course, we have seen so much volatility in prices, but if you see as a overall business as a whole, then we did not find any major destocking or demand side even in domestic market.

Got it. Sir, when you look at April again just on the domestic side, when you say, demand has been normal, is this more channel filling led or do you see that even, from a underlying demand point of view, from a capex point of view, the demand uptick has been kind of normal?

What feedback we have from secondary market also, it seems that demand is normal. That is if you see March or after that April also sales is going normal, I don't think there will be major issue in domestic side of demand.

Got it, sir. Sir, just on the payables day, right, I think that number has increased meaningfully this quarter.

If you can just help us understand what led to this increase in the payable days?

We used a letter of credit facility and working so that we can if we effectively manage our working capital, we used this trade facilities more effectively in the this quarter.

Got it, sir. Maybe just last question is on the pricing side.

One, if you can highlight that in the 4Q, if we look at the gross margin profile, does it capture entire pricing? Because as you said, right, the RM prices was pretty volatile.

If I remember correctly, in 3Q, the entire pricing was not passed on. Does the 4Q gross margin reflects entire pricing?

Secondly, if you can also highlight in April has there been any pricing action?

Again, this pricing is continuous process in our business. If somebody says entire pricing done or not done, it will not be a right statement.

Here more importantly, it is continuous process where we keep passing on this pricing either positive side or negative side. Same thing happens in April also where we came up with one price rise to match this price rise whatever we are facing in my raw material side.

It is continuous process. There is nothing extraordinary in last quarter or even in this month of April.

Got it, sir. Got it.

Thank you. That would be all.

Hi, sir. Thank you for the opportunity.

Just wanted to get an understanding what was the contribution to exports from the Middle East region in FY '26?

Normally if I say out of our total wire and cable business, 30% is our export and within that we have almost 40% is export to Middle East side. If I say by if I see by that figures, then of course it's around 12% in overall top line on yearly basis.

Since last time the impact was only for 30, 40 days, you can factor those percentages.

This has continued in April so far, right?

Yes.

Okay. Thank you, sir.

Hi, sir. Thank you for the opportunity.

You just said, you have a share of 40% to the Middle East exports. I just wanted your comment on the overall outlook for the exports, especially in the Middle Eastern region for FY '27.

I think it will be very tough to predict in such a scenario because nobody is aware whether this war will finish tomorrow or maybe 15 days or one month. Of course, we know key there will be not very long problem and we can compensate through other geography also.

This year also, whenever this war will finish, again we'll regain our that sales from that region.

Sir, how's the overall shipping routes in this region? we have heard that the insurance cost has shot up, the freights have gone up.

As of today, are we facing any issue with respect to the exports?

No, apart from Middle East, we are not facing any issue. Since in our case freight and insurance and everything is passed through to our customers, there is no direct impact, I will say.

Got it, sir. Sir, and lastly on the overall pricing action, if you could just give us a some sense on the pricing action for the overall year and during this month as well, if there's any.

Yes, so as in our case whatever prices in our raw material prices we pass on to our customers in by changing our selling price and by as a thumb rule whenever there is plus or minus raw material prices by 2% or 3%, then we change our selling prices also. Since this is continuous process and we see average of last 15, 20 days, based on that changes, we keep changing our selling prices.

This is continuous process.

Got it, sir. Thanks a lot.

Very helpful.

Thank you for the opportunity, and congratulations, sir, on a good set of numbers, especially given the macro volatility. My first question is on wires and cables only.

What we got to know from the ground was that there is continued stress in Morbi because of which ceramics is having a problem and then wires is a ancillary to that. When we spoke to few channel partners, they told us that there's destocking, downtrading, metal volatility problems, and all of that, and despite that, you've clocked in a volume growth of 10%.

I think wires has seen more pressure than cables. Just want to know what is it that you're doing different?

Are you indexing yourself to newer markets where growth is coming out for you? Could you throw some detailed color on that, and I apologize for iterating this question.

No, but rightly said by you, of course there are some impact and as if you see in my 10% volume growth, my wire growth is single digit, mid-single digit, while cables is on high teens. In that sense, there were some pressure, but at the same time, we are doing so many initiatives as to establish our business by B2B side also and wire side also.

This is again a continuous process where we keep looking to new geography or increasing our distribution or second monitoring our secondary sales. This is a regular process.

All right. Just a follow-up on that itself.

You said definitely cables is doing better for you. First off, could you just give a little detailed color as to how cables business is scaling up for you both on exports and domestic?

Because we have a low base in terms of the trailing quarters for cables, can we expect you to beat industry growth for cables and can that drive strong growth for you in the coming quarters compared to incumbents?

Yes, when you see our business plan in our commentary is also we have said that we are planning to increase our B2B base and expanding our cable capacity also. It means my growth will also come from cable side also, be it domestic market or export market.

At the same time, if you see, still like we are very small player in terms of cable and with this capacity expansion and with our established network, we are quite confident to beat the industry average and we are planning to grow more than industry average, particularly in cable side of the business.

Thank you, sir. Thanks so much.

Thank you and congratulations for the excellent quarter and year. Sir, first question is on the cable side.

Sir, after the capex that we have done in FY '26, until what kV range our cable portfolio is ready? Over the next couple of years, how is the pipeline to scale it up further?

Right now we can make up to 66 kV of cable, and with new capex plan, we'll be able to achieve capability to build up to 220 kV, which is lower end of EHV or higher end of HV side of the cable with this capex plan of 1,200 crore.

Correct, sir. Partly it will be ready in '27 or this is likely to come up towards the end of '28?

No,

it will be some part will come in mid of FY '27 also, by end of FY '27 also. It is continuous process, but it will get completed by FY '28.

Every half-yearly, we'll keep adding few capacities.

Okay. Sir, for FY '26, what was our cables and wires sales mix?

Product mix?

Cables contribution of cables and wires in the cable and wire segment.

This year, my mix was around 73% in wire and 27% in cable. Reason being, since copper prices have risen more, it reflected more in revenue side.

Is this mix as of now, it is 73 versus 27.

Okay. Lastly, sir, on FMEG, as you mentioned, we are targeting 20%, 25% growth in FY '27.

Just a color on individual key product categories like fans and lighting regarding how the current summer season is panning out and the outlook for overall FY '27.

We will achieve major growth in, of course, fan is our major contributor, but apart from fan also, switch, switchgears, appliances, and all segments are still we are very small player and we expect it to achieve this kind of volume value growth in FY '27 by focusing on all of this sectors where we are present in FMEG.

Correct. Sir, specifically for fans, if you can highlight how the summer season is playing out and, for the full year what kind of growth are we targeting?

In fan also if you see we have seen mixed season in April also. In few part of the countries, there are rain, but in few parts there are summer also.

It's mixed season. I'll say now it is picking up the fan season is also.

For initial few days, there were some disturbance, but now it is picking up. For few full yearly basis, there will be good growth in fan side also.

Thank you, sir.

Thank you so much for the opportunity. Just wanted to know any new product that we are adding, because currently seeing a very good traction on the data center and the BESS market.

Any products that we are able to cater to that market?

Data center is one of the area where this wire and cable we are looking at the growth, but since our B2B still we are very focusing on all product range and sectors also. Data center is one of them, apart from infrastructure or wind and solar energy.

Of course data center is one of the very big area where maybe in next 3 to 4 years there will be huge demand and we'll target that market also.

Any timeline for that, when the product will be get commercialized and

In data center, the normal wire and cable only goes

to.

It is

not

Not

any specific product. Understood.

Thank you so much.

Hi, sir. Good evening and congratulations on a great set of numbers in Q4.

Sir, just wanted to understand, our margin improvement which we are speaking about over the next couple of years. Given that we're entering FY '27 with stable but elevated copper prices and obviously now inventory gains would be diminishing on a quarter-on-quarter basis to some extent, and given the high base of last year as well, not to mention competition entering in the second half of this year, what are our thoughts on how we want to improve our margins?

I do understand that we want to scale cables up to a greater extent in our portfolio, but what do we think about, our efforts on increasing the margin from, a current levels to the margin which we guided

at? Thanks Tanay.

If you see whatever margin guidelines we have given based on normal business environment. When we say that from in three years our margins will improve by 300 basis points and if you see last year already we have done 130 basis points, but still we are guiding for 9.5% for FY '27.

It means this considering that whatever business plan we have made based on our volume increase or better product mix or more efficient utilization or benefit of scale, by this we will improve our margins to this 9.5% on this year.

Sure. Sir, if I got the number correct, we spoke about a 16% to 17% volume growth for FY '27, right?

Yeah, 16%

to 18%, rather. 16% to 18%.

FY '26 for 4Q is what we did a 10% volume growth.

Yes, because our base was quite high for Q4 '25.

Yes, makes sense. Sir.

Great. Thank you.

Thanks for answering my questions.

Yeah. Good evening, sir.

My question is regarding data centers. I just wanted to know if we have the required products to cater to data centers and what would be Is it going to be distribution-led or we will be approaching the customers on our own?

Does these approvals take a lot of time?

It's always mixed approach where we approach to end customers, but we may supply through my distribution network also or direct also. Again, this is a continuous process where we'll keep approaching to data center, take approval, and start supplying.

Since there is no new product for which we are waiting, but it is only existing product, it is continuous process where we are approaching to customers and quite hopeful to enter this segment effectively.

Sir, is it true that the requirement of cables in a data center is much higher as compared to let's say putting up a factory?

You cannot compare directly because it depends on what kind of scale that factory is there. Of course, since data center where continuous power supply or electrical supply is very important, they cannot afford even 0.01% of power failure.

They have four or five kind of power backup and therefore, there is lot of cables and wires are applied.

Okay. Is it a substantial part of our revenue as of now or no?

No, not as of now.

Great. Thank you so much.

Thanks for the opportunity. Sir, in terms of the prevailing April prices versus the quarter which went by, what would be the ballpark increase in spot markets or at least contracts where we'll be supplying in May or June?

Again, this is like continuous process and wherever we have like PV clause, it depends. If I have a big order, then that order may have PV clause where we selling on the last month price.

In our case, majority of the our business is like on order basis only and it is like continuous process in like in the month of June I mostly we'll supply on the average of May or something like that. There is no relation between Q1 price or

No, fair to assume that the current prices would be higher than the Q4 average prices? Would that be a fair assumption or not really?

Mathematically you may assume that it will be higher side.

Versus the entire FY '26, would there be a decent double-digit pricing which has happened?

Till now, yeah, we have seen more than double-digit price rise already.

Ballpark, if I were to assume, prices stay where, there is stability obviously to have slightly up and down, but broadly if there is not much meaningful increase or decrease in the commodity prices, FY '27 as a year can be a 30% top line growth assuming 16%, 18% volume growth is what you have, highlighted in terms of guidance? Again,

it will be very tough to predict, but mathematically if you go by my volume growth versus price rise, what we have seen on average basis, 30% you can assume.

Sure. In terms of the total mix of cables in maybe for FY '27 or '28 once you commission the entire 1,200 crore capex, ballpark in terms of range, what would be the cable contribution in the cable and wire segment?

Though in this year my contribution is around 27%, again it depends on the pricing of copper and aluminum also because both are moving in different direction. By normal means, my cable contribution can increase by 3% to 4% in overall business.

If this is 27%, on normalized basis by year end it can become 31%.

The overall contribution of cables would move towards more value-added as in erstwhile if you would have sold more LV, you would have you'll start now selling more HV cable. Would that be a fair assumption?

No, this is nothing very specific role in that terms, because it depends on product mix and how you will quantify that I don't know, but otherwise that is fair assumption that my HV role will increase or HV contribution in my top line will increase. That is fair assumption.

Sure. Okay.

Thank you, sir. Thank you.

Hello, sir. Thank you for the opportunity.

Sir, I wanted to understand what is the wires and cables mix in domestic and export separately. A connected question to that is that I wanted to understand the macro, the end markets that we are servicing, the use cases that we're servicing, and what kind of growth that you're envisaging for both the products across geographies, domestic and export, if you can elaborate on the macro also, please.

Thanks.

Our product mix is largely same in my export versus domestic which I have shown 73, 27. Largely it is quite similar to that only.

If you see at a smaller level, then in cable we see higher growth when I compare to wire side for next 2 years if I can figure out. In wire, our growth may remain around 11%, 12%, while in cable we since our base is small, we are expecting growth of 25% in terms of volumes.

Since we see lot many opportunities in B2B side, be it infrastructure or data center or wind and solar, and at the same time in export market also we have seen huge opportunities in cable side of the business.

Sure. Sir, going this year RR Kabel has performed remarkably well.

If you have to pick out two, three pointers as to what has exactly changed in the way we do business or the strategic changes that you brought in the company, if you have to pick up two, three pointers that has mainly driven this, can you please spell out the strategy that the company has undertaken? Also going forward, we see that this industry is going to have many new players.

How are we internally placed to tackle this? Thanks.

See, one of the biggest thing if you see, we have planned our business to grow very structurally in particularly in B2B side where we are focusing few segments since this wire and cable business is quite big and we are focusing few segments, few geographies so that we can achieve structured growth. Same time, we have taken various operational projects also to improve our margins, and these are working well, what you have already seen our this year's results, and we are confident to remain on track in next few quarters and years also.

As much as your question regarding competition, again of course there are new players and but we think competition is always part of your business. We will keep driving our business based on our quality, business structure, and focusing on exports and B2B side of the business.

Okay. Can you please elaborate on your strategy on expanding margins as to what exactly you've done so far and the outlook on margins of 100 bps expansion, despite having the inventory gain this year, how will we be able to expand on the margin side?

If you see our Project Rise, we have seen that based on our operational efficiencies and product mix and expanding export business, there are multiple things which are working well and we have planned and even this future margin improvement will be achieved through these basis only.

Got sir. Thanks.

All the best.

Thank you everyone for taking some time out of to participate in this call. In case of any queries, reach out to us or our investor relation agency, MUFG Investor Relations.

We wish you all the best and hope to interact with you soon. Thank you so much.