Prime Cable targets 40-45% annual growth on medium voltage expansion
Revenue hit ₹235 cr in FY26. Management is betting on a product shift to push EBITDA margins to 12-13% by FY28.
What's new
- FY26 revenue rose 67% to ₹235 cr.
- Management plans to hit 12-13% EBITDA margins by FY28 by selling medium voltage cables.
- Order book stands at ₹191 cr, covering 4-6 months of work.
Why it matters
The company is scaling its utility and EPC business, but margins stay thin at 10-11%. The move into medium voltage cables is the only way to lift those margins. Until that capacity starts running, profitability will remain stagnant.
What we're watching
- Actual utilization rates for new medium voltage cable capacity.
- Order book replenishment speed to maintain the 4-6 month backlog.
- Ability to hold 10-11% margins in FY27 as the product mix shifts.
The full read
Prime Cable Industries ended FY26 with ₹235 crore in revenue, a 67% jump from the prior year. Growth came from utility and EPC contracts. Management now wants to move into medium voltage cables to shift EBITDA margins from the current 10-11% to 12-13% by FY28. The firm has ₹191 crore of orders on the books, enough to keep factories busy for 4 to 6 months. This growth plan requires high spending to build capacity. The next test is whether the company can sustain 40-45% revenue growth while absorbing the costs of the new product line. The path to higher margins depends entirely on the success of this capacity ramp-up. Execution is the only variable that matters.