Diamond Power Q1 FY27 Earnings Call — Analysis (NSE: DIACABS)
Diamond Power delivered 129% YoY revenue growth in Q1 FY27 to ₹690 Cr and expanded EBITDA margins to 12.3%, reiterating FY27 revenue guidance of ₹4,300–₹4,500 Cr supported by a ₹3,688 Cr order book and capacity additions.
Result quality: stable — Steady quarter. Management sentiment: optimistic.
The take
Q1FY27 Revenue ₹690 Cr ( +129% YoY ) . New guidance — FY27 diamond power fy27 revenue ₹4,300 Cr to ₹4,500 Cr . New story: MV and EHV Value Migration .
Results
Revenue reached ₹690 Cr (+129% YoY); EBITDA came in at ₹85 Cr (+172% YoY) with an EBITDA margin of 12.3% (+200bps YoY), while PAT rose 191% YoY to ₹58.5 Cr.
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Revenue | ₹690 Cr | +129% | yoy · Q1FY27 |
| EBITDA | ₹85 Cr | +172% | yoy · Q1FY27 |
| EBITDA Margin | 12.3% | +200bps | yoy · Q1FY27 |
| Profit After Tax | ₹58.5 Cr | +191% | yoy · Q1FY27 |
| Order Book | ₹3,688 Cr | point_in_time · Q1FY27 · As of Aug 11, 2026 | |
| QIP Capital Raised | ₹1,640 Cr | point_in_time · Q1FY27 · Completed in Q1FY27 | |
| Net Worth | ₹691 Cr | point_in_time · Q1FY27 · Post-QIP vs -₹922 Cr as of June 30, 2026 |
Guidance
Management reaffirmed full-year FY27 revenue guidance of ₹4,300–₹4,500 Cr at 11–13% EBITDA margin, projecting FY28 revenue to scale to ₹7,500 Cr.
What management committed to
- [Diamond Power] is firmly on track to deliver a full year top line in the range of INR4,300 crores to INR4,500 crores in FY27. — INR4,300 crores to INR4,500 crores, FY27
- [Diamond Power] guides EBITDA margin between 11% to 13% for FY27. — 11% to 13%, FY27
- [Diamond Power] targets revenue of INR7,500 crores in FY28. — INR7,500 crores, FY28
- The fourth rod mill should start production by 15th of October [2026]. — 15th of October, Q3FY27
- The incremental MV silane line should start production somewhere by 15th of September [2026]. — 15th of September, Q2FY27
- The fifth CCV line will start production in March 2027. — March 2027, Q4FY27
- The sixth CCV line will be commissioned by December 2027. — December 2027, Q3FY28
- [Diamond Power] targets an export order book of at least INR500 crores before ending FY27. — at least INR500 crores, FY27
- [Diamond Power] expects data center sales to contribute around INR750 crores before March 2027 and INR1,500 crores in FY28. — around INR750 crores, FY27
- [Diamond Power] expects to recover around INR300 crores of legacy NCLT receivables over the next 12 to 18 months. — around INR300 crores, FY28
- [Diamond Power] targets bringing Adani Group order concentration down from 40%+ to 20% by the end of FY27. — 20%, Q4FY27
Key themes
Capacity expansion and EHV value migration
How the narrative shifted
- MV and EHV Value Migration: The company is strategically shifting capacity toward high-voltage cables where technical qualifications create barriers to entry and provide superior realizations.
- Capacity Expansion and Asset Turnaround: Aggressive brownfield additions in CCV lines, silane lines, and rod mills will triple capacity without incurring heavy civil capex.
- Grid Undergrounding and Climate Resilience Demand: State utilities are replacing overhead lines with underground MV/HV cabling for disaster management across cyclone- and flood-prone coastal belts.
- Balance Sheet De-leveraging and Capital Infusion: The ₹1,640 Cr QIP infusion has turned net worth positive, cleared promoter debt, and fully funded working capital and brownfield expansions.
- Input Cost Pass-Through Mechanics: Metal and polymer price increases are passed through with a slight lag, keeping absolute contribution intact over contract cycles.
Operational commentary
- Completed ₹1,640 Cr QIP; deployed ₹130 Cr for LV cable expansion, ₹74 Cr for balancing equipment, ₹350 Cr to repay promoter unsecured loan, and ₹750 Cr for working capital.
- Board approved 2 aluminum corrugation lines (₹17 Cr capex) to migrate capacity from 33 kV to higher-margin 66 kV and 132 kV cable products.
- Ordering a 6th CCV line (equipment capex ~₹50 Cr) with delivery by August 2027 and commissioning by December 2027, tripling MV/EHV capacity.
- Converting legacy rod mill into a modern LV/control cable plant (42,000 km capacity, ~₹1,880 Cr revenue potential) targeting data center demand by Q4 FY27.
- Won 1,370 km medium voltage cable order via Rajesh Power for coastal disaster management in Gujarat and secured LOI from Uttar Pradesh Electricity Board.
- Working on recovering ~₹300 Cr of legacy NCLT receivables over 12–18 months following legal discharge of assets under PMLA.
Analyst Q&A
Q. What is the exact commissioning timeline for the 4th rod mill, the silane line, and the CCV lines?
Fourth rod mill will commission by October 15, incremental MV silane line by September 15, 5th CCV line by March 2027, and 6th CCV line by December 2027.
Q. What is the deployment breakdown of the ₹1,640 Cr QIP proceeds and resulting net worth?
Net worth turned positive to ₹691 Cr; ₹130 Cr allocated to LV expansion, ₹74 Cr for balancing equipment, ₹325 Cr general corporate, ₹350 Cr to repay promoter unsecured loan, and ₹750 Cr to working capital.
Q. What is the current customer concentration with the Adani Group and the target going forward?
Adani represents over 40% of the current order book; the board mandate is to diversify across 670+ active clients and bring Adani concentration down to 20% by year-end.
Q. How will the product mix and margins look at the peak potential revenue of ₹14,000 Cr?
Conductors will contribute 30–35% (9–10% EBITDA), LV cables 10–15% (8–9% EBITDA), and MV/EHV cables 50–55% (14–22% EBITDA), maintaining blended EBITDA around 11–13%.
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