Apar Industries

“At this stage, we are confident of our performance during FY27.”

“So we give a guidance from a medium to long-term perspective, because of the nature of the business and the complexity, it's not the easy cost that we give guidance for the quarter. But we expect tailwinds to come.”

“I mean, this INR1500 crores is the domestic capex. We have still to make any major -- we are still in the process of looking at closing the loop for the overseas side of the expansion. It's at a fairly advanced stage, but we still have to close on that.”

“So, we are pretty much on plan plus/minus 1 quarter on the capex program.”

“So capacity constraint is not the main it will not be a constraint. We've made sure that we invest a little bit ahead of the curve and the capacity is there.”

“And so as you end this year and move into next year, I think capacity should not really be the biggest problem.”

“So, we have adequate capacity currently for, you know, the orders which have been taken. And then, you know, for executing this order book between the capacity we have now and the new equipments, which are under commissioning, we should be able to handle this.”

“What is also interesting to note is that the order book at the moment is at an all-time high of INR12,025 crores as of September 30th.”

“The order book consists of new orders received during the second quarter of FY27, the extent of INR4,725 crores, which is higher than the same period last year by 82%.”

“The order book includes several prestigious and new type of orders from utilities in the U.K. and the U.S. of about INR3,000 crores.”

“On the OPGW front, we received a single largest order and the first of its kind with the 48 fiber OPGW from KPCL, Karnataka Power and Transmission Corporation Limited of about INR960 crores.”

“We also received our first OPGW orders at 144 fibers in it from a customer in Central America.”

“So if you look at the conductor dividend, overall revenue for the quarter has grown 21.1% to INR3,753 crores. This is led largely by the increase in the prices of commodities and underlying metals. Volume for the quarter dipped by 9.2% over the same period last year.”

“The premium mix stands at 39.4% in Q2 FY27 compared to about 45.3% in Q2 FY26.”

“It is also our expectation that the second half will see much more aggressive execution in transmission lines, and we are gearing up for the higher volumes in H2.”

“Revenue for the quarter came in at INR1,819 crores, which is up 35.6% year-on-year, 6.7% sequentially, led by higher realization on the back of higher base oil prices.”

“we see that the overall volume is down to 128,590 KL for the quarter, which is about 20% lower than the same period previous year.”

“we expect the industry also to grow by about 10% excluding all these one-off effects that we are seeing.”

“So overall growth is around anywhere between 15%, 20%.”

“some of these AI data centers, a single package coming from the US would be in between INR400 crores and INR1,000 crores single package.”

“So as a consequence, and we don't see any slowdown. We actually see, as I mentioned to you, new legislation coming in, which is going to actually grow demand.”

“given these 2 important changes we expect that there will be an acceleration of reconductoring of lines taking place, especially in sections of the network where the electricity demand is growing.”

“The EBITDA after open period forex adjustments rose 57.8% year-on-year to INR787 crores and the margin improved by 270 basis points to 11.4% from 8.7% a year ago.”

“The EBITDA margin improved on the back of execution of higher margin orders during the quarter where the EBITDA per metric ton comes in at INR48,241 per metric ton compared to 39,363 per metric ton a year earlier.”

“As we move to Q3, however, this freight rate has already started showing signs of reversal. And as a consequence, we should see a better situation in this quarter.”

“EBITDA post foreign exchange grew by 185% to reach INR299 crores.”

“The EBITDA margins have improved by 80 basis points to 11%.”

“As a consequence of this fund raise, our rating has been improved by 1 notch from AA negative to AA, which is an important development to help us access larger finance limits and also rationalize borrowing costs.”

“So it's not really had an impact on the amount of inventory which we hold in. We've pretty much controlled it in terms of the number of days outstanding.”

“So we have deployed the QIP money working capital. So we have resorted to cash purchases of raw materials, and that's the way we have deployed the money.”

“It's around INR3,500 crores.”

“So it's just an enabling resolution that has been taken considering that there are -- we are looking at various options of expansion overseas.”

“I did want to point out specifically here that we had approximately INR800 crores of conductors and cables, which are in transit and have been sold to customers on a DDP basis.”

“This quarter, we, as I mentioned earlier, have an unusually high value of cables, which are amounting to over INR440 crores which are in transit, for which the sales revenue could not be recognized as the incoterms are on a DDP basis.”

“Whatever we are recognizing today is because we have taken the hit previously and is getting reversed in today's situation. So it's more like a one-off thing-- against those suppliers. We won't see anything recurring coming from that.”

“There is an unusually high amount of conductors and cables that are in transit currently to the U.S. on a DDP basis. So actually, our manufacturing data and dispatch data looks very different than the sales realised data. That should catch-up pretty much in Q3.”

“As there continues to be a delay in manufacturing clearances as well as awarding of new conductor orders from customers and especially TBCB awardees.”

“Our business out of the Hamriyah plant has substantially reduced because of the logistics of bringing product in and out.”

“We did have a little bit of a setback in Q2 as far as CTC is concerned, because when the very heavy rains came and hit Silvassa, one-half of CTC complex that was the one that was really badly affected compared to all the rest of our cable and conductor manufacturing.”

“And I'd like to add that some of the transformer customers' expansions have got somewhat delayed.”

“So, there is still a significant arbitrage between the Shanghai Metal Exchange and LME which gives the fundamental benefit to Chinese conductor exporter for that matter or even a cable exporter. So, that competition is quite severe.”

“Our consolidated revenue for second quarter FY27 came at INR6,931 crores, which is higher than the previous year same period by 21.3%.”

“On the back of the strong EBITDA margin improvement, coupled with improved financial leverage, our overall net profit have risen year-on-year by 77.8% to INR447 crores.”

“The revenue for H1 grew 25% to INR13,522 crores.”

“Our profit after tax for the half year grew 77.7% to reach to reach INR915 crores.”

“As a result, the U.S. revenue shows lower by 29.7% compared to the second quarter of last year.”