Delton Cables Reports FY26 Results: Revenue Soars, Profit Falls Amid Asset Revaluation

Delton Cables Limited announced its audited financial results for the fiscal year ending March 31, 2026. The company saw a significant 39.07% increase in revenue from operations, reaching ₹986.38 crore, up from ₹709.26 crore in the prior year. However, net profit after tax dropped by 28.23% to ₹14.72 crore, compared to ₹20.51 crore in FY25.

Revenue Growth vs. Profit Decline

The strong revenue growth indicates robust demand for Delton Cables' products and increased business activity. Despite this topline surge, the decrease in net profit suggests potential margin pressures, higher operating costs, or other financial challenges faced during the fiscal year.

Land Revaluation Boosts Assets

Delton Cables adopted a land revaluation model effective from FY26. This accounting change significantly increased the carrying value of its freehold land from ₹0.0783 crore to ₹240.10 crore. Consequently, the company's total assets rose to ₹862.09 crore and total equity to ₹343.38 crore. This revaluation is a non-cash accounting adjustment.

Financial Performance and Shareholder Returns

In the previous fiscal year (FY25), Delton Cables reported a net profit of ₹20.51 crore on revenues of ₹709.26 crore. The company also recorded a net exceptional income of ₹0.44 crore in the current fiscal year from the settlement of a prior-year insurance claim. For FY26, Delton Cables has recommended a final dividend of ₹2.00 per share, pending shareholder approval.

Auditor Note and Investor Watchpoints

Auditors noted an unregistered charge of ₹0.30 crore (₹30 lakh) for Mercantile Bank Ltd. Investors will likely focus on the company's ability to improve profit margins in the coming quarters, given the decline in profitability despite revenue growth. Addressing the auditor's note on the charge and maintaining revenue momentum will be key factors to monitor.