28-Oct-2026 09:17:40
PARAMOUNT COMMUNICATIONS Q2 CONCALL : REVENUE JUMPS 31% YOY, OPERATING MARGIN EXPANDS TO 7.3%; MANAGEMENT TARGETS 8% MARGIN BY Q4 & ₹5,000 CR REVENUE BY FY31
• MANAGEMENT REITERATES FY27 REVENUE GROWTH GUIDANCE OF APPROXIMATELY 15–20%, SUPPORTED BY DOMESTIC INFRASTRUCTURE DEMAND & RECOVERING EXPORTS • MANAGEMENT TARGETS OPERATING MARGIN OF APPROXIMATELY 8% BY Q4 FY27, EXCLUDING ANY POTENTIAL US TARIFF-RELATED RECOVERIES • MANAGEMENT REITERATES LONG-TERM REVENUE TARGET OF APPROXIMATELY ₹5,000 CR BY FY31, DRIVEN BY CAPACITY EXPANSION & HIGHER-VALUE CABLE PRODUCTS • MANAGEMENT TARGETS PARTIAL COMMISSIONING OF ITS ₹300 CR NARMADAPURAM MANUFACTURING FACILITY IN Q1 FY28, WITH EXPECTED PLANT REVENUE OF ₹500 CR IN FY28 & ₹1,200 CR IN FY29 • MANAGEMENT EXPECTS TOTAL MANUFACTURING CAPACITY TO APPROXIMATELY DOUBLE FROM 30,000 MT TO 60,000 MT BY FY30, FOLLOWING THE NEW PLANT'S RAMP-UP • MANAGEMENT TARGETS US EXPORTS AT APPROXIMATELY 25–30% OF FY27 REVENUE, WITH POTENTIAL US EXPORT SALES OF AROUND ₹700 CR, SUBJECT TO MARKET CONDITIONS • Q2 REVENUE GREW 31.1% YOY & 5.9% QOQ TO ₹560.4 CR, WHILE NET PROFIT STOOD AT ₹24.2 CR • Q2 OPERATING PROFIT REACHED ₹40.9 CR, WITH OPERATING MARGIN SURGING TO 7.3% FROM 1.3% YOY; EBITDA INCLUDING OTHER INCOME STOOD AT ₹44.7 CR • H1 FY27 REVENUE GREW 24.1% YOY TO ₹1,089.8 CR, WHILE OPERATING PROFIT REACHED ₹75.6 CR & NET PROFIT STOOD AT ₹43.9 CR • Q2 DOMESTIC REVENUE STOOD AT ₹402.3 CR, CONTRIBUTING 71.8% OF SALES, WHILE EXPORT REVENUE REACHED ₹158.1 CR, ACCOUNTING FOR 28.2% • TOTAL ORDER BOOK STOOD AT ₹731 CR AS OF SEPTEMBER 2026, INCLUDING ₹632 CR DOMESTIC & ₹99 CR EXPORT ORDERS, WHILE HTLS ORDERS EXCEEDED ₹200 CR BY THE CONCALL DATE • MANAGEMENT ESTIMATES AN APPROXIMATELY ₹50,000 CR DOMESTIC HTLS RECONDUCTORING OPPORTUNITY OVER FIVE YEARS, WITH POTENTIAL DOUBLE-DIGIT PRODUCT MARGINS • NEW NARMADAPURAM FACILITY WILL TARGET 220 KV CABLES, HTLS CONDUCTORS, ELECTRON-BEAM & RUBBER CABLES, WHILE HIGHER-VOLTAGE APPROVALS WILL REQUIRE ADDITIONAL TIME • MANAGEMENT EXPECTS WORKING CAPITAL TO IMPROVE TO 90–100 DAYS DURING H2 FY27 FROM 108 DAYS IN SEPTEMBER, WHILE DEBT-TO-EQUITY STOOD AT 0.14X • MANAGEMENT REMAINS POSITIVE ON POWER TRANSMISSION, DATA CENTERS & EXPORT RECOVERY, BUT PLANT COMMISSIONING, HIGH-VOLTAGE APPROVALS, US TARIFF CHANGES, METAL PRICE VOLATILITY & WORKING CAPITAL REMAIN KEY RISKS
PARAMOUNT DYE TEC LIMITED