Polycab’s FY-23 Revenue Corsses 14,000 Cr, Wire & Cable Revenue Jumps 18.38%
Polycab India Ltd. (PIL) [NSE: POLYCAB, BOM: 542652], one of the leading names in the Indian wire & cable industry, has announced its financial results for the quarter and the year ended 31st March 2023.
Polycab India’s Standalone Financial Figures
For the quarter ended 31st March 2023, Polycab reported a standalone revenue of Rs. 4,287.41 crore, and a corresponding Profit After Tax (PAT) of Rs. 432.84 crore. Further, the company’s Earnings Per Share (EPS) on a standalone basis was Rs. 28.91 during Q4 of FY-23.
Considering the entire financial year, this wire & cable giant amassed a top-line of Rs. 13,911.57 crore and a corresponding bottom-line of Rs. 1,271.59 crore in FY-23. Further, EPS for fiscal FY23 stood at Rs. 84.98 on a standalone basis.
Polycab’s Consolidated Financial Results
YoY Comparison of Polycab’s Financials: Q4 FY-22 vs. Q4 FY-23 & FY-22 vs. FY-23
On a Year-over-Year (YoY) basis, Polycab’s Q4 revenue grew slightly by 8.91% to Rs. 4,323.68 crore in FY-23 from Rs. 3,969.98 crore during FY-22.
PAT of the company for Q4 FY23 showed an encouraging growth of 31.68% to Rs. 428.42 crore from Rs. 325.34 crore clocked during Q4 of FY-22.
Further, Polycab’s EPS grew to Rs. 28.37 in Q4 of FY-23 from Rs. 21.57 in Q4 of the year ended 31st March 2022.
Polycab’s top line for the year ended 31st March 2023 was Rs. 14,107.78 crore, which reflects a substantial growth of 15.60% from the company’s Rs. 12,203.76 crore revenue earned in FY-22.
Moreover, the company reported Rs. 1,282.25 crore as its profit for the 2022-23 financial year against a bottom line of Rs. 917.28 crore earned during FY-22; an increase of almost 40%.
Polycab’s consolidated EPS for FY-23 stood at Rs. 84.87, exhibiting a 39.43% jump from its EPS of Rs. 60.87 during FY-22.
QoQ Comparison of Polycab’s Financials: Q3 FY-23 vs. Q4 FY-23
Polycab’s revenue soared 16.38% on a Quarter-over-Quarter (QoQ) basis from Rs. 3,715.18 crore which was reported by the company for Q3 of FY-23.
PAT followed the same trend, growing by 18.73% from Rs. 360.83 crore earned during the quarter ended 31st December 2022.
Polycab’s EPS increased by 18.75% QoQ from Rs. 23.89 in Q3 of the 2022-23 fiscal.
Polycab’s Segment-Wise Consolidated Revenue
Revenue in Rs. Cr.
Wires & Cables: Polycab is chiefly a wire and cable manufacturer since this segment contributes the maximum to the company’s revenue. In FY-23, this segment brought in 90.57% of PIL’s total revenue.
For the quarter ended 31st March 2023, the company clocked Rs. 4,078.29 crore from its wire and cable business, which is YoY 15.21% higher than the Q4 revenue of Rs. 3,540.02 crore from this segment reported in FY-22.
Considering the entire year, PIL’s revenue from this segment grew noticeably by 18.38% to Rs. 12,777.50 crore in FY-23 from Rs. 10,793.81 crore in FY-22. It is interesting to note that Polycab’s FY-23 revenue from wires and cables is higher than its total revenue for FY-22.
Fast Moving Electrical Goods (FMEG): Polycab’s FMEG business brought in Rs. 305.22 crore as revenue during the quarter ended 31st March 2023, and Rs. 1,260.74 crore during the entire FY-23.
This reflects a YoY drop of 19.51% in the company’s Q4 FMEG revenue from Rs. 379.22 crore earned in FY-22. Further, Polycab’s revenue from this segment dropped QoQ by 10.76% from Rs. 342.01 crore earned in Q3 of FY-23.
Considering the full year, Ploycab’s FMEG revenue for FY-23 was almost the same as in FY-22, recording a meagre rise of 0.51%. For FY-22, Polycab’s FMEG revenue was Rs. 1,254.38 crore.
Other: This segment comprises Polycab India’s EPC business.
For Q4 FY23, PIL’s revenue from this segment was Rs. 133.78 crore, which reflects a YoY jump of 28.08% from Rs. 104.45 crore segmental revenue for Q4 of FY-22. On a QoQ basis, the company’s EPC revenue increased slightly by 6.17% from its Q3 revenue of Rs. 126.01 crore in FY-23.
Considering the entire year, Polycab reported a top line of Rs. 464.71 crore in FY-23 from this segment, soaring remarkably by 25.54% from its FY-22 EPC revenue of Rs. 370.18 crore.
Polycab’s Insight on its Financial Performance
Commenting on the company’s financial performance, Mr. Inder T. Jaisinghani, Polycab’s Chairman and Managing Director, said, “FY23 was a remarkable year for the Company, as we surpassed revenues of ₹140 Bn and profitability threshold of ₹10 Bn, to record highest ever revenues and PAT in the history of the Company. With robust demand on the anvil, we are confident of exhibiting continued strong growth in the near-to-mid term as well”.
In its press release dated 12th May 2023, the company elaborated that the YoY growth in wire and cable revenue from FY-22 to FY-23 has been due to a healthy increase in volume. Further, considering the entire 2022-23 fiscal, exports contributed to 9.8% of the company’s total revenue.
Polycab explained that its performance in the FMEG segment was impacted by the reorganization of its distribution channels keeping in mind its long-term growth. “With the distribution realignment completed, the Company is confident of improving top-line and bottom-line from FY24”, the release stated.
About Polycab India Limited: Polycab India Limited was established in 1996. The company’s wire and cable portfolio includes power cables, control cables, instrumentation cables, solar cables, building wires, flexible cables, flexible/single multi-core cables, communication cables, and others including welding cables, submersible flat and round cables, rubber cables, overhead conductors, railway signaling cables, specialty cables and green wires.