Revenue from operations grew by 16.83% year on year to Rs 4,340.47 crore during the quarter, on the back of strong volume growth in wires & cables business.

Profit before tax in Q3 FY24 was at Rs 546.4 crore, up 13.6% from Rs 481 crore reported in Q3 FY23.

EBITDA stood at Rs 569.5 crore in the quarter ended 31 December 2023, up 13% YoY. EBITDA margin came in at 13.1% in Q3 FY24 as compared to 13.5% posted in Q3 FY22. Sequentially, margin declined by 130 bps, mainly due to higher A&P spends.

Wires & cables business revenue for Q3 FY24 grew by 18% YoY, on the back of strong volume growth. The demand environment remained strong, supported by the government's continuous focus on infrastructure development and a pickup in private capital expenditure. Domestically, both distribution and institutional businesses reported robust performances.

Revenue from International business contributed 6.2% to the consolidated revenue for the quarter. The company anticipates a healthy performance in International business during Q4 FY24 and beyond. EBIT margin for the quarter stood at 14%, witnessing a YoY improvement of 20 bps.

Fast Moving Electrical Goods (FMEG) business registered a de-growth of 15% YoY in Q3 FY24, primarily due to sustained weakness in consumer demand. The fans segment grew sequentially, but registered YoY de-growth, on account of a higher base of the previous year due to stock liquidation activities prior to the BEE transition. The lights segment continued to decline, adversely impacted by further pricing erosion.

Both Switches & Switchgears segments exhibited robust growth during the quarter. Higher Advertising and Promotion (A&P) spends and the absence of economies of scale resulted in accelerated bottom-line de-growth. During the quarter, the company merged the FMEG and Power businesses under a unified business unit head.

As of 31 December 2023, net cash position improved to Rs 1,840 crore against Rs 1,530 crore in the previous quarter.

Meanwhile, the company’s consolidated net profit climbed 46.38% to Rs 1,238.04 crore on 27.22% rise in revenue to Rs 12,447.55 crore in 9M FY24 over 9M FY23.

Inder T. Jaisinghani, chairman and managing director, Polycab India, said, “Our robust business momentum continued in the third quarter, leading to highest-ever quarterly revenues in the history of the company. Nine-monthly revenues and profitability too created newer highs. With a keen eye on emerging trends, Polycab aims to continue its upward trajectory, creating long-term value for our stakeholders.”

Polycab India is the largest manufacturer of Wires and Cables in India and fast growing player in the Fast Moving Electrical Goods (FMEG) space. The Group is also in the business of Engineering, Procurement and Construction (EPC) projects.

Shares of Polycab India shed 0.20% to Rs 4,431 on the BSE.