JD Cables guided 15-16% EBITDA margin in November. Now it says 13%.
A new facility location that changed states, a conductor line six months late, and margins that fell after EPC entry — the company’s Nov 2025 guidance is largely unrecognizable.
What's new
- FY26 revenue grew 45.7% to ₹365 cr; H2 alone grew 70% on EPC and bulk orders.
- EBITDA margin fell from 16% in H1 to 12% in H2, with full-year guidance now at 12-13%.
- Order book stands at ₹500-515 cr; management is targeting ₹700-800 cr by March 2027.
- Jamnagar facility is still awaiting a power connection; operational timeline pushed out by six months.
Themes from the call
Margins
EBITDA margin contracted 400 bps from H1 to H2 as EPC and bulk supply orders diluted the product mix, and management now guides for 12-13% versus the 15-16% it cited in November.
Execution
The conductor division start date slipped from January 2026 to 'very soon' in June, awaiting an electricity connection, while the facility location itself changed from Dankuni to Jamnagar to Jamshedpur across three mentions.
Growth
Revenue grew 45.7% to ₹365 cr and management is guiding for 50-60% growth in FY27, funded by a new EPC business that contributed ₹30 cr in its first quarter.
Guidance watch
- FY27 revenue growth guided at 50-60%, with management adding 'and even beyond that' without a ceiling.
- EPC revenue guided at a minimum of ₹200 cr, up from ₹30 cr in FY26; described as 'conservative'.
- EBITDA margin guidance is 12-13% for FY27, a permanent step-down from the prior 15-16% view.
- Order book target is ₹700-800 cr by March 2027, requiring ₹185-300 cr in new inflows.
Risk flags
- The new facility location was cited as Dankuni, then Jamnagar, then Jamshedpur — a fundamental contradiction on a core growth asset.
- Conductor division start date slipped six months with no acknowledgement of the delay.
- Operating cash flow was negative ₹74 cr in FY26; growth is being funded by bank debt.
- New product approvals (HVDS, MCC panels) are pending with no finite timeline given by management.
Key quotes
-
"EBITDA margins should remain around 15% or 16%, like something like that only."
— Piyush Shiroya, Nov 2025 call -
"We are expecting to get our electricity connection within this month. I think very soon our conductor division will start."
— Piyush Shiroya, Jun 2026 call -
"We acquired a new industrial facility at Jamnagar... We have established a new unit in Jamshedpur."
— JD Cables management, Jun 2026 call
The brief
JD Cables' June 2026 call bore little resemblance to the one from November. The most damaging change is the margin guidance. Eight months ago, management told investors to expect 15-16% EBITDA margins for FY26 and FY27. This quarter, after margins fell to 12% in the second half, it guided for 12-13%. The culprit is the EPC segment, which contributed ₹30 cr in its first quarter but brought lower-margin bulk supply orders with it.
The facility story is just as disjointed. In November, the new plant was in Dankuni, Hooghly. This quarter, prepared remarks placed it in Jamnagar. The Q&A then introduced a third location, a 1.87 lakh sq ft unit in Jamshedpur. These are not interchangeable places. It is a contradiction on a core growth asset that management did not explain.
The conductor division start date also slipped. November said January 2026. June said it was still waiting for a power connection. Capacity was supposed to double by March. It hasn't.
None of this is to dismiss the business. Revenue grew 45.7% to ₹365 cr, the order book is at ₹500-515 cr, and the 50-60% growth target for FY27 is backed by a ₹1,000 cr-plus tender pipeline. But the guidance credibility has taken a hit. When the margin outlook, the facility location, and the commissioning timeline all change in six months without a clear explanation, the next set of projections deserve more skepticism.
JD Cables' numbers are growing. Its guidance track record from six months ago is not.