Polycab India Limited (POLYCAB IN): Buy: W&C continues to shine; FMEG surprises positively

研报英文原文证据摘录

Polycab India Limited (POLYCAB IN): Buy: W&C continues to shine; FMEG surprises positively

17 July 2026

Equities

Polycab India Limited (POLYCAB IN) Electrical Equipment

Buy: W&C continues to shine; FMEG surprises

positively India

◆ Realisation-led W&C and strong FMEG performance drive MAINTAIN BUY

c10% earnings beat in Q1

◆ Strong demand, geographic expansion and FMEG scale up TARGET PRICE (INR) PREVIOUS TARGET (INR)

to drive c21% EPS CAGR over FY26-29e 10160.00 9500.00

◆ Maintain Buy; raise TP to INR10,160 (from INR9,500) on SHARE PRICE (INR) UPSIDE/DOWNSIDE

raised earnings forecasts and valuation roll-over 9215.00 +10.3%

(as of 16 Jul 2026)

FY27 Q1 review – W&C realisation and FMEG led earnings beat: Polycab

MARKET DAT

revenues grew 39% y-o-y, ahead of HSBCe (+3%) and Bloomberg consensus Market cap (INRm) 1,387,969 Free float 32%

estimates (+6%). Revenue growth was driven by Wires and Cables (W&C; 39% y-o-y), Market cap (USDm) 14,419 BBG POLYCAB IN

3m ADTV (USDm) 40 RIC POLC.NS

primarily on higher realisation, with low to mid-single digit volume growth albeit on a

high base, and Fast Moving Electrical Goods (FMEG; +71% y-o-y), driven by broad- FINANCIALS AND RATIOS (INR)

based growth across segments led by the solar segment, while EPC declined 11% y-o-y Year to 03/2026a 03/2027e 03/2028e 03/2029e

HSBC EPS 176.95 226.87 262.13 312.71

due to execution timing. In W&C, wires growth outpaced cables. EBITDA margins HSBC EPS (prev) 176.31 204.87 247.43 302.06

expanded 70bp sequentially, supported by W&C revenue mix and FMEG margin Change (%) 0.4 10.7 5.9 3.5 Consensus EPS 177.78 211.86 248.05 287.11

expansion (+c6ppt). PAT grew 32% y-o-y to INR7.7bn (10%/12% ahead of HSBCe/ PE (x) 52.1 40.6 35.2 29.5

consensus).