India's R R Kabel quarterly profit rises on strong growth in wires and cables

R R Kabel

31/07/2025 14:28

July 31 (Reuters) - India's R R Kabel RRKA.NS reported a 39.4% rise in its first-quarter profit on Thursday, driven by strong demand for its wires and cables.

The company reported a consolidated net profit of 897.7 million rupees ($10.25 million) for the quarter, compared to 643.8 million rupees a year ago.

Sales in its wires and cables segment, which makes up 89% of overall revenue, grew about 16% year-on-year.

KEY CONTEXT

India's largest wires exporter saw robust demand, both in the domestic and international markets, driven by strong construction activity in sectors such as power transmission and real estate.

Its domestic wires business garners among the highest margins for the company, analysts have said.

R R Kabel is ramping up its manufacturing capacity in the smaller cables segment as deep-pocketed new entrants UltraTech Cement ULTC.NS and Praneetha Ecocables — backed by business conglomerates Aditya Birla Group and Adani Group - enter the industry.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Price/Sales
Revenue growth (%)
Profit growth (%)
Mean rating*
# of analysts
Stock to price target**
Div yield (%)
R R Kabel Ltd
RRKA.NS
37.20
23.15
16.35
29.47
Buy
9
0.94
0.49
Polycab India Ltd
POLC.NS
39.63
26.89
3.68
18.85
22.03
Buy
29
0.92
0.50
Havells India Ltd
HVEL.NS
52.25
33.99
3.88
11.06
15.73
Buy
28
0.87
0.65
KEC International Ltd
KECL.NS
20.82
11.85
15.27
55.41
Buy
21
0.87
0.63

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL TO JUNE STOCK PERFORMANCE

 -- All data from LSEG

-- $1 = 87.5540 Indian rupees

R R Kabel Stock Performance https://tmsnrt.rs/45rR4eB

 (Reporting by Ananta Agarwal in Bengaluru; Editing by Mrigank Dhaniwala)

 ((Ananta.agarwal@thomsonreuters.com;))