JD Cables Posts Robust FY26 Growth, Eyes EPC Expansion

JD Cables' total income for FY26 reached ₹365 crore, marking a significant 45.67% year-on-year increase. Profit after tax (PAT) also saw a substantial 44% rise, reaching ₹31.72 crore. The company's order book stood strong at ₹515 crore as of March 31, 2026.

Reader Takeaway: Strong revenue growth driven by cable business and new EPC focus, but cash flow pressures need management.

What just happened

JD Cables Ltd announced its financial results for the fiscal year ending March 31, 2026 (FY26). Key highlights include total income of ₹365 crore, a 45.67% increase from the previous year. Profit after tax (PAT) grew by 44% to ₹31.72 crore. EBITDA also rose by 40% to ₹48.11 crore.

The company also reported strong performance in the first half of FY26 (H1 FY26), with total income of ₹243 crore, up 70% year-on-year. H1 FY26 EBITDA and PAT grew by 52% and 69% respectively.

JD Cables is actively expanding into the Engineering, Procurement, and Construction (EPC) sector, which now accounts for approximately ₹300 crore of its ₹515 crore order book. Management targets an 8% PAT margin for this segment.

Why this matters

This performance indicates strong demand for JD Cables' products and successful execution of its growth strategy. The diversification into the EPC segment, a higher-margin business, could be a significant long-term growth driver. However, the aggressive expansion and entry into EPC are putting pressure on the company's working capital and cash flows, a key area for investors to monitor.

The backstory

JD Cables operates two manufacturing units with a combined capacity of 28,000 kilometers per annum, running at high utilization rates (82.4% and 84.6%). The company's foray into EPC marks a strategic shift towards a more integrated infrastructure solutions provider.

What changes now

The company plans to potentially double its manufacturing capacity in Phase 1 by September 2026 and aims for a 3x-4x expansion in the next two years. Management has projected revenue growth of 50% to 60% for FY27 and aims to maintain operating margins between 12% and 13%. The order book target for FY27 is ₹700 crore to ₹800 crore.

Risks to watch

A primary concern is the pressure on cash flows due to high growth and EPC project execution, indicated by a significant cash deficit from operations in FY26 and increased inventory cycles. The company may seek bank debt to fund working capital for EPC projects. Successful conversion of tenders (currently over ₹1,000 crore bid for) and efficient execution of the EPC model are crucial.

Peer comparison

While specific peer data was not provided in the filing, companies in the cable manufacturing and infrastructure EPC sectors typically face similar challenges related to working capital intensity and project execution risks. JD Cables' move into EPC places it in a segment that often requires substantial upfront investment and efficient project management.

Context metrics (time-bound)

• FY26 Total Income: ₹365 crore (+45.67% YoY)
• FY26 PAT: ₹31.72 crore (+44% YoY)
• H1 FY26 Total Income: ₹243 crore (+70% YoY)
• Order Book (as of March 31, 2026): ₹515 crore

What to track next

Investors will be closely watching the company's ability to manage its working capital and cash flow amidst its expansion. The successful execution of the EPC projects, conversion of outstanding tenders, and achievement of margin targets will be key indicators of future performance.