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HomeIndiaPolycab India Q1 profit soars 82% on strong wire and cable business

Polycab India Q1 profit soars 82% on strong wire and cable business

BENGALURU, July 18 (Reuters) – Polycab India (SHELF.NS) Posted an 82% rise in first-quarter profit on Tuesday, helped by higher sales at its core wire and cable business.

Consolidated net profit of India’s largest wire and cable maker rose to Rs 3.99 billion ($48.65 million) in the three months ended June 30compared to Rs 2.2 billion in the previous year.

Shares in the company rose as much as 3.6% to hit a record Rs 4,055 after the results.

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KEY CONTEXT

Analysts expected the wire and cable segment, also Polycab’s biggest business, to grow in the April-June quarter, due to government infrastructure spending and continued healthy demand from the real estate sector.

Polycab reported double-digit profit growth for the previous four quarters, while profits lagged rivals amid subdued demand in an inflationary environment.

Rival Havells India (HVEL.NS) is scheduled to report its quarterly results on Thursday.

PAIR COMPARISON

**Mean of analyst ratings standardized on a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock’s last close to the analysts’ average target price; a ratio greater than 1 means the stock is trading above the PT

STOCK MARKET EVOLUTION APRIL-JUNE

— All Refinitiv data

— $1 = 82.0200 Indian rupees

Reporting from Rama Venkat in Bangalore; Edited by Janane Venkatraman

Our standards: The Thomson Reuters Trust Principles.

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