Finolex Cables manufactures electrical and communication cables, copper rods and FMEG products, and heads into its Q2 FY 2026-2027 print with copper at record levels and a communication-segment tailwind from a global fiber shortage. The key things the results will speak to are the restart of the copper rod plant after the Q1 shutdown and how much of the ~30% communication margin is given back as low-cost inventory exhausts.
| Results date | November 07, 2026 |
|---|---|
| Quarter | Q2 FY 2026-2027 |
| Previous quarter revenue | Rs. 2,013 Cr (standalone, Q1 FY27, +44.3% YoY) |
| Previous quarter PAT | Rs. 221 Cr (standalone, +59.4% YoY); consolidated PAT Rs. 249 Cr (+53.1% YoY) |
| Previous quarter EBITDA margin | 12.3% (standalone, +294 Bps YoY) |
| Market cap | Rs. 17,977.01 Cr |
| CMP | Rs. 1,174.3 |
The board is scheduled to meet on Saturday, 7 Nov 2026 to approve the unaudited standalone and consolidated financial results for the quarter ended 30 Sep 2026. The trading window for Directors, KMP and designated employees has been closed since 1 Oct 2026 until 48 hours after the results release, per SEBI PIT Regulations.
The Q2 FY27 print will test two things: whether the copper rod plant restarted after being shut for all of Q1 FY27 on LPG/PNG shortage — a segment that fell to Rs. 8.01 Cr of revenue and a Rs. (3.41) Cr loss from a ~Rs. 400 Cr/quarter run-rate — and how much of Q1's ~30% communication cables margin is given back, with management having guided to 8%–9% EBIT by Q3 FY27 and explicitly declining to annualize the Q1 level.
Copper rallied through the quarter to record levels — LME spot touched $14,594/t on 17 Aug 2026, up 46.3% YoY — which supports value-led ASP growth but is a headwind for retail channel holding and working capital, the dynamic behind 15 price changes over the last year that made distributors de-risk inventories.
On volumes, Q1 saw electrical wires up only ~7% with high double-digit growth in automotive, battery cables, flexibles, solar and agricultural applications, and communication volumes up ~30% on data center and AI demand; the fiber shortage hardened through the quarter, with global fiber prices up ~70% from the 2021 low to ~$6.30/fiber-km.
Management's standing commitments — 8 mn km fiber draw capacity by September 2026, FY27 capex of Rs. 300 Cr, FMEG revenue of Rs. 500 Cr by FY28, and sustainable electrical margins around 10.5% — remain the yardsticks, with the fiber price backdrop more supportive than when they were set. Note the base distortion: Q2 FY26 PAT of Rs. 187 Cr included a Rs. 72.35 Cr dividend receipt, and Q1 FY27's headline EBITDA excludes other income while prior headline EBITDA did not.
Performance vs Guidance Tracking: Management does not give quarter or full-year guidance, but has made specific capacity and margin commitments that the Q2 call will be measured against.
Copper rod plant restart: The single biggest swing factor for Q2 revenue after the Q1 shutdown.
Communication margin normalisation: Management has explicitly flagged that Q1's ~30% communication margin is not sustainable.
Volume mix and channel inventory: Whether value-led growth gives way to volume re-acceleration.
Risks and headwinds to monitor: Management-flagged overhangs that bear on the quarter and the call commentary.
Q1 FY27 communication cables EBIT of Rs. 52.52 Cr came on margins 'close to 30%', driven by consuming older, lower-cost opening inventory sourced in November–December last year. Management explicitly said this is not sustainable and guided to 8%–9% EBIT margin by Q3 FY27, with traditional levels around 8% to 10%.
The copper rod plant stayed shut for all of Q1 FY27 due to LPG/PNG shortage arising from the Middle East war, collapsing segment revenue to Rs. 8.01 Cr from Rs. 403 Cr a year ago with a Rs. (3.41) Cr segment loss. Emergency gas curbs were withdrawn in early July 2026, but QatarEnergy extended force majeure to early December, so the restart timing was still open at quarter-end.
Management accelerated the fiber draw expansion from 4 to 8 mn km 'in one go' due to a global fiber shortage, with the deck stating the company is 'on track to operationalize its full 8 mn km capacity by the end of Q2 FY27'. Confirmation of the September 2026 milestone is a key follow-up for the Q2 call.
Standalone revenue rose 44.3% YoY to Rs. 2,013 Cr in Q1 FY27, but the growth was value-led — electrical wires volumes rose only ~7% — with copper pass-through and a ~3% May price hike driving the headline. Communication volumes rose ~30% on data center and AI demand, and auto, solar and agri volumes grew 'high double digits'.
Management reaffirmed on the Q1 FY27 call that the Rs. 500 Cr (Rs. 5 billion) FMEG revenue target by FY28 remains, expressing confidence in achieving it. New fan and water heater models are expected within 6 months (stated Aug 2026), while switch/switchgear variants need 6–8 months of certification.
Disclaimer: This earnings preview is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.