Polycab India Ltd: Strong Q1 Performance Spurs Share Price Surge
In a remarkable display of financial resilience and growth, Polycab India Ltd, a leading manufacturer of wires and cables, has reported a robust set of earnings for the quarter ended June 2025. The company’s shares surged nearly 3% in morning trade on July 18, 2025, following the release of its first-quarter results, which showcased a significant 50% increase in net profit compared to the same period last year. This performance has not only caught the attention of investors but also led to bullish calls from major brokerage firms, including UBS, which has revised its target price for the stock upwards.
The company’s consolidated revenue for the quarter stood impressively, marking a 25% increase from the previous year. This growth is a testament to Polycab India’s strategic positioning in the fast-moving electrical goods (FMEG) sector, which includes a diverse range of products from fans and LED lighting to solar products and domestic appliances. The company’s Wire and Cable segment continues to be a significant contributor to its revenue, benefiting from the increasing demand for electrical infrastructure across India.
Polycab India’s earnings per share (EPS) for the quarter were reported at 39.36 INR, a substantial increase from 26.35 INR in the corresponding quarter of the previous year. This performance exceeded the average estimates of 33.33 INR per share by seven analysts, underscoring the company’s ability to surpass market expectations.
The positive financial results have been well-received by the market, with Polycab India’s shares touching an intra-day high of ₹7,046 on the National Stock Exchange (NSE), gaining 2.3% on the day. The stock was among the top gainers on the NIFTY MIDCAP 150 index, reflecting strong investor confidence in the company’s growth trajectory.
UBS’s upgrade of the target price for Polycab India’s stock is a significant endorsement of the company’s financial health and future prospects. This move by UBS, along with a bullish call from Citi Research, highlights the growing optimism among analysts regarding Polycab India’s ability to capitalize on the expanding electrical infrastructure market in India.
Polycab India’s strong Q1 performance is a clear indicator of its robust operational capabilities and strategic market positioning. With over 28 manufacturing facilities across key states in India, the company is well-placed to meet the growing demand for electrical goods and infrastructure. As Polycab India continues to expand its product offerings and strengthen its market presence, investors can look forward to sustained growth and profitability in the coming quarters.
In conclusion, Polycab India Ltd’s impressive Q1 results have not only boosted its share price but also reinforced its position as a leading player in the electrical equipment industry. With a solid financial foundation and a clear growth strategy, Polycab India is poised for continued success in the dynamic Indian market.