Conference Call with Polycab India Management and Analysts on Q3FY24 Performance and Outlook. Listen to the full earnings transcript.
Electrical Equipment/Products company Polycab India announced Q3FY24 & 9MFY24 results: Financial Performance - Total revenue for 9MFY24 reached Rs 1,24,475 million, marking a significant 27% growth compared to the same period last year. - EBITDA for 9MFY24 rose to Rs 17,303 million, reflecting a noteworthy increase of 40% YoY. - Profit After Tax (PAT) went up by 46% to Rs 12,494 million in the 9MFY24. - Q3FY24 revenue stood at Rs 43,405 million, up by 17% YoY. - Q3 EBITDA and PAT saw increments of 13% and 15%, respectively, with PAT amounting to Rs 4,165 million. Business Segments - Wires & Cables business observed an 18% YoY revenue growth in Q3 and 29% over 9MFY24, facilitated by strong volume growth. - The FMEG sector experienced a decline of 15% in revenue during Q3 due to weaker consumer demand, with a slight 2% de-growth over 9 months. Operational Highlights - A unified Business Unit Head has been appointed to oversee the merger of the FMEG and Power businesses. - International business contributed to 6.2% of the consolidated revenue for the quarter, with expectations of robust performance in the subsequent quarters. Profitability and Cash Position - Q3FY24 reported PAT margin of 9.6%. - Net cash position saw improvement, reaching Rs 18.4 billion on December 31, 2023, from Rs 15.3 billion in the previous quarter. - In 9MFY24, there was an improvement in margins by approximately 120 bps to 13.9%, and PAT margins enhanced by about 130 bps to 10%. Commenting on the performance, Inder T. Jaisinghani, Chairman and Managing Director, Polycab India, said: "Our robust business momentum continued in the third quarter, leading to highest-ever quarterly revenues in the history of the Company. Nine-monthly revenues and profitability too created newer highs. This outstanding success is a testament to our resilient business model, characterized by robust operational efficiency, a diverse and innovative product portfolio, and the robustness of our extensive distribution network that effectively caters to diverse market segments. With a keen eye on emerging trends, Polycab aims to continue its upward trajectory, creating long-term value for our stakeholders." Result PDF