- Rising input and commodity costs are being reported in India.
- Rising commodity prices aided revenue growth for companies, and UltraTech successfully entered the Wires and Cables market.
- KEI Industries reported strong export expansion and growth in the Wires and Cables business driven by broad-based demand.
Motilal Oswal Review: KEI Industries Q2FY27 Results Show Revenue Growth Amid Margin…
What happened
Motilal Oswal analysts reviewed KEI Industries' Q2FY27 performance, which saw revenue rise 38.5 per cent year-on-year to ₹3,776 crore and EBITDA increase 39.8 per cent to ₹377 crore. Despite this growth, the company reported that its EPC business incurred a loss during the quarter, and the wires and cables margins were below estimates.
Why it matters
The results led to a sharp market reaction, with KEI Industries' share price plunging 10 per cent on the BSE. While the company reported broad-based demand driving growth in the wires and cables business, the lower-than-expected operating profit margins influenced the stock movement.
KEI Industries has recently reported strong export expansion and growth in its Wires and Cables business, while rising commodity prices have aided revenue growth for companies in the sector.
Who's involved
- Motilal OswalProvided the analyst review of KEI Industries' Q2FY27 performance
- Raamdeo AgrawalServes as the chairman of Motilal Oswal
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The entities involved
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Motilal Oswal
Indian businessman