Birla Cable Q2 FY27 Results (NSE: BIRLACABLE)
Signal: Margin expansion
The read
The trajectory remains sharply positive: Q2 revenue grew 101.5% YoY and estimated EBITDA margin expanded 1176bps YoY to 15.8%, but the 175bps sequential margin contraction and raw-material intensity rising to 80.0% from 74.3% QoQ are the key watchpoints after Q1FY27's 17.5% margin.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹354.81 Cr | 101.5% | 33.1% |
| Net profit | ₹37.81 Cr | 5208.9% | |
| EPS | ₹12.6 | 5150.0% | |
| EBIT margin | 15.8% |
P&L walk
Revenue rose to 35481.08 lakh, +101.5% YoY and +33.1% QoQ, while estimated EBITDA increased to 5596.89 lakh and PAT reached 3781.12 lakh; the main sequential giveback was margin, which fell to 15.8% from 17.5%.
Segments
The group is effectively single-segment Cable, and consolidated PAT of 3781.12 lakh was only 0.57 lakh below standalone PAT of 3781.69 lakh, indicating no material subsidiary drag or lift.
Key positives
- Revenue was 35481.08 lakh, up 101.5% YoY and 33.1% QoQ, extending the strong growth trajectory from Q1FY27.
- Estimated EBITDA grew 691.5% YoY versus 101.5% revenue growth, with margin expanding 1176bps YoY to approximately 15.8%.
- Employee cost rose only 4.5% YoY to 962.88 lakh while revenue grew 101.5%, supporting a meaningful reduction in employee-cost intensity.
- Operating cash flow turned positive at 3373.17 lakh in H1FY27 versus an outflow of 510.29 lakh in H1FY26.
- Net debt declined by 2923.62 lakh from 12768.97 lakh at 31 March 2026 to 9845.35 lakh at 30 September 2026.
Key concerns
- Estimated EBITDA margin declined 175bps QoQ from 17.5% to 15.8%, while raw-material intensity rose 563bps QoQ to 80.0% of revenue.
- Trade receivables increased to 28436.44 lakh from 20297.37 lakh at 31 March 2026 and inventories rose to 10439.95 lakh from 7896.82 lakh, creating working-capital intensity despite positive operating cash flow.
- PPE declined to 10335.40 lakh and H1 capex was only 73.12 lakh, indicating limited visible capacity expansion behind the current growth surge.
Research and educational content only. Not investment advice.