R R Kabel Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

R R Kabel Ltd trades at ₹2,786, in a confirmed uptrend and 39 weeks into that stage. That is +48.3% against its own 200-day average. It sits at 100% of a 52-week range of ₹1,246 to ₹2,786. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 23 straight weeks.

Today the stock is in a confirmed uptrend — week 39 of stage 2, confirmed. At ₹2,786 it trades +48.3% versus its 200-day average and sits at 100% of its 52-week range (₹1,246–₹2,786).

Against the market, two honest reads. Cumulative: over the last 2.9 years the stock moved +136% while the NIFTY 500 moved +36% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 23 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Story check

R R Kabel Ltd's story is on track against the markers our research file set on 14 August 2026. Where it sits in its own cycle: Mid-expansion — early expansion moving to mid, with the price already repriced from cheap to mid-range. Marker count: 1 met, 1 partly met, 2 not due yet, 1 flagged.

Our read, 14 August 2026. A compounder being repriced as a cyclical — back-loaded capex gives the engine two more years to run.

What is proven. The core wire-and-cable engine delivers what it promises. FY26 revenue rose 27.6% to ₹9,722 Cr and profit rose 58% to ₹492 Cr, both above the company’s own guidance. Quarterly profit went from ₹50 Cr at the September-2024 trough to ₹205 Cr in June 2026, and return on capital employed climbed from 19.8% to 28.1% before the new ₹1,200 Cr of capacity even lands.

What is not proven yet. The side business. Fans, lights and appliances were promised break-even by March 2026, slipped a full year to FY27, and grew 3% against a 20–25% promise.

🚨 What would change our mind. A breakdown in cable utilization or failure to commission the mid-FY27 capacity would break the core operating leverage thesis.

The test written in advance. Volume growth gets back to the 18% a year management guided — wire and cable volume growth at least 18% by FY27 full year.

The test written in advance. The fans, lights and appliances arm reaches break-even in FY27 after missing FY26 — FMEG operating profit at least break-even by FY27-Q4 results.

The test written in advance. The margin programme delivers the promised 300 basis points of cable margin by FY28 — cable margin improvement at least 300 basis points by FY28 full year.

What the company does. R R Kabel makes wires and cables — the branded core of the business — and also fans, lights and small appliances, which it calls FMEG. Copper is the main input and its cost is passed on to customers, so profit comes from volume, from the mix moving to higher-voltage cable, and from spreading fixed plant costs over more output.

How the money is made. Cable and wire volume × realisation per unit − copper and other input cost − fixed plant, brand and distribution cost − the loss the fans-and-lights arm still makes = operating profit.

What is temporary, cyclical, structural. Branded electrical products maker in an expansion phase, riding the shift from unbranded to branded cable.

Lever 1 · Operating leverage — ACTIVE. Every ₹1 of extra revenue drops roughly 1.3 times into operating profit on the plants that already exist. Return on capital employed went from 19.8% to 28.1% on that existing base, before the new ₹1,200 Cr of capacity is even switched on. What proves it keeps working: Operating margin holding at or above 9% while revenue keeps growing; the company guides 9.5% for FY27. It stops working if cable plant utilisation breaks down, or spending slips and demand for infrastructure cable weakens.

Lever 15 · Market-share gains — ACTIVE. Organized, branded cable makers keep taking share from unbranded ones as safety and compliance rules tighten. R R Kabel targets 18% growth against 13–14% for the industry. What proves it keeps working: Volume growth back at or above 18%; FY26 delivered 15%, and the March quarter alone only 10%. It stops working if volume growth stays below 12% for two more quarters.

Lever 2 · Value-added mix — BUILDING. 80% of the ₹1,200 Cr of new spending goes into cable, moving the range from 66kV up to 220kV extra-high-voltage cable, where margins are structurally better. What proves it keeps working: The 220kV capacity coming on line from mid-FY27, with more added every six months after that. It stops working if the mid-FY27 capacity is not commissioned on time.

Lever 10 · New geographies — BUILDING. The EU trade deal removes a 3.7% tariff on about 40% of the export mix, which is roughly 10–11% of total revenue — a straight realisation gain from FY27. What proves it keeps working: Export revenue and export margins rising through FY27. It stops working if export demand weakens, or the tariff saving is competed away in price.

Sources: our stock research file (14 August 2026) · quarterly results through Jun 26 · the company’s own earnings calls. The story check is re-scored every results season; the record below never changes.

Revenue Revenue is the top line: everything the company billed its customers in the period.

R R Kabel Ltd reported ₹3,168 Cr of revenue in the Jun 26 quarter, +53.9% year on year. That is the 12th straight quarter of year-on-year growth. Over 6 years it has compounded at 25.6% a year. The last full year, FY26, came in at ₹9,722 Cr. The last four reported quarters add to ₹10,832 Cr.

FY26 revenue came in at ₹9,722 Cr (+27.6% on the year), capping 6 years at 25.6% compound. The latest quarter (Jun 26) printed ₹3,168 Cr, +53.9% year on year — the 12th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +37.4% growth against the decade's 25.6% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +37.7% over the last 4 quarters against +26.2%/yr over the last 8 — accelerating; TTM profit +79.6% vs +45.2%/yr — accelerating.

The flat grind, ₹1,480–1,810 Cr · FY23-Q3 → FY25-Q3. The start of the flat grind: revenue ₹1,480 Cr, profit ₹71 Cr at an 8% margin. Volume grew, but copper cost pass-through kept the top line flat-ish. Its ₹29.86 earnings per share here is on the pre-listing share count and is not comparable with later quarters. Margin slipped to 7% on copper cost pass-through; profit ₹65 Cr on ₹1,517 Cr of revenue.

Inflection and expansion · FY25-Q4 → FY27-Q1. The inflection quarter: revenue jumped to ₹2,218 Cr, margin to 9% and profit to ₹129 Cr — operating leverage on the plants that already existed. A softer quarter management blamed on projects slipping into the next one, a claim it downplayed one call later. Revenue ₹2,059 Cr, profit ₹90 Cr, margin 7%. First-half volume ran at 12% against the 18% promised.

Why-sources: our stock research file (14 August 2026) and the company’s own results for those quarters.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

R R Kabel Ltd's operating margin is 9.0% in the Jun 26 quarter, +2.0 percentage points against the same quarter a year ago. Across 7 fiscal years the operating margin has ranged 6.0% to 9.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 9.0%, +2.0 pp against the same quarter a year ago. Across 7 fiscal years the operating margin has ranged 6.0%–9.0%.

Why the margin moved: operating margin went +2.0 pp year on year while gross margin went +0.4 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

🚨 The trough, 4.7% in Sep 2024 · FY25-Q1 → FY25-Q2. Margin fell to 5% as the copper cost squeeze bit and the fans, lights and appliances arm kept losing money; profit dropped to ₹64 Cr. The trough: margin 4.7% and profit ₹50 Cr, the lowest in this record, on flat revenue of ₹1,810 Cr.

The rebuild under the margin programme · FY25-Q3 → FY27-Q1. The rebuild starts: margin recovered to 6% and profit to ₹69 Cr even with revenue slightly lower. The inflection quarter: revenue jumped to ₹2,218 Cr, margin to 9% and profit to ₹129 Cr — operating leverage on the plants that already existed.

Why-sources: our stock research file (14 August 2026) and the company’s own results for those quarters.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

R R Kabel Ltd earned ₹205 Cr of net profit in the Jun 26 quarter, +127.8% year on year. It is the 6th consecutive quarter of growth. Full-year FY26 profit was ₹492 Cr. The 6-year compound rate is 26.2%. That is 6.5% of the quarter's revenue. The same quarter a year earlier earned ₹90.0 Cr.

Jun 26 profit was ₹205 Cr, +127.8% year on year — the 6th consecutive quarter of growth. On the full year, FY26 printed ₹492 Cr (+57.7%), and the 6-year compound rate is 26.2%.

Why profit moved: revenue contributed +53.9% and the margin +2.0 pp — the quarter was margin-led: most of the profit growth came from keeping more of each sale.

Pace comparison, last four quarters: profit +90.3% vs revenue +37.4%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

🚨 Flat, then the trough at ₹50 Cr · FY23-Q3 → FY25-Q2. The start of the flat grind: revenue ₹1,480 Cr, profit ₹71 Cr at an 8% margin. Volume grew, but copper cost pass-through kept the top line flat-ish. Its ₹29.86 earnings per share here is on the pre-listing share count and is not comparable with later quarters. Margin slipped to 7% on copper cost pass-through; profit ₹65 Cr on ₹1,517 Cr of revenue.

Trough to ₹205 Cr · FY25-Q3 → FY27-Q1. The rebuild starts: margin recovered to 6% and profit to ₹69 Cr even with revenue slightly lower. The inflection quarter: revenue jumped to ₹2,218 Cr, margin to 9% and profit to ₹129 Cr — operating leverage on the plants that already existed.

Why-sources: our stock research file (14 August 2026) and the company’s own results for those quarters.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 102% of R R Kabel Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹295 Cr of operating cash against ₹492 Cr of profit. After ₹333 Cr of capital spending, ₹−38.0 Cr was left as free cash.

FY26: operating cash of ₹295 Cr against reported profit of ₹492 Cr, leaving free cash of ₹−38.0 Cr after ₹333 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 102% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 102%: the cash cycle tightened 72 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner.

Router verdict: the bigger cash user is investment — capital spending ran 4.0× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

R R Kabel Ltd's cash conversion cycle runs 56 days in FY26, down from 128 days in FY21. Capital spending ran ₹911 Cr over the last 3 years. At FY26 sales of ₹9,722 Cr each day of that cycle holds about ₹26.6 Cr, so roughly ₹1,492 Cr sits inside the business at any moment.

FY26: debtors at 37 days, inventory at 81 days — roughly 2.7 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 56 days, tighter than FY21's 128.

The full loop: cash goes out to suppliers and production on day 0; stock waits 81 days to sell; customers pay about 37 days after that; and suppliers themselves are paid at 63 days — netting out to the 56-day cycle.

In money terms: at FY26 sales of ₹9,722 Cr, each day of the cycle holds about ₹26.6 Cr — so the 56-day loop keeps roughly ₹1,492 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹911 Cr over the last 3 fiscal years against ₹227 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹72.0 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

R R Kabel Ltd earns a ROCE of 28% in FY26. That is up from a trough of 15% in FY21. Return on invested capital clears the cost of that capital by +10.1 percentage points, so growth here adds value rather than only size. The wiring behind it is 5.1% net margin on 2.10× asset turns.

FY26 ROCE is 28%, recovered from a FY21 trough of 15% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 5.1% net margin × 2.10× asset turns × 1.79× balance-sheet leverage ≈ 19.2% on equity. Margin does its share; leverage is a meaningful part of the equation.

The capstone test — ROIC − WACC: 22.1% − 12.0% = a +10.1 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

R R Kabel Ltd carries total debt of ₹337 Cr against shareholder equity of ₹2,574 Cr as of Mar 26, a debt-to-equity of 0.13 — effectively unlevered. On the annual view that ratio went from 0.43 in FY22 to 0.13 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Mar 26: total debt of ₹337 Cr against shareholder equity of ₹2,574 Cr — a debt-to-equity of 0.13. On the annual view, debt-to-equity went from 0.43 (FY22) to 0.13 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Foreign institutions added 4.1 points of R R Kabel Ltd over 8 quarters, the biggest move on the register. That takes foreign institutions to 10.7% of the company. Domestic institutions moved −1.7 points over the same window, to 11.9%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: +4.1 points over 8 quarters to 10.7%; Domestic institutions: −1.7 points over 8 quarters to 11.9%; Promoters: −0.5 points over 8 quarters to 61.4%.

Why the register moved: rotation — foreign institutions +4.1 points against domestic institutions −1.7 points over 8 quarters, with promoters −0.5 points — one class of institutions handing the register to the other, not a verdict change by the people closest to the numbers.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

R R Kabel Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

R R Kabel Ltd trades at 51.5× P/E, mid-range by its own standards (57th percentile). Its long-run median P/E is 49.6×, measured across 2.9 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 51.5× is mid-range by its own standards (57th percentile), against a long-run median of 49.6× measured over 2.9 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

🚨 Why the multiple sits where it does: over the past year annual EPS moved +57.9% against a +129.9% price move — the price outran earnings, pushing the multiple UP its own range.

The price move, decomposed: over 3y, of the +33.1%/yr price move, ~+40.4%/yr came from earnings growth and ~−7.3 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is unremarkable against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: Improving Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

R R Kabel Ltd reads as improving on its fundamental arc. Improving — EPS growth bottomed 7 quarters ago at −46.3% and has held its recovery at +80.3%, ROCE lifting at 29.4%. The read is built from 11 quarters across 4 curves, on full evidence.

Why it matters: a sustained climb off the trough is the setup this page is built to catch — the question moves to what you pay for it.

4-Factor Sector Score

66.9/100 — rank 2 of 10 in Cables - Power · 100% evidence confidence

R R Kabel Ltd scores 66.9 out of 100 against the 10 companies it is compared with in Cables - Power, ranking 2. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 28.9 + 14.1 + 8.6 + 15.3 = 66.9. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Quarterly scorecard

5 markers came out of our R R Kabel Ltd research file of 14 August 2026, and each results season scores every one of them. 4 quarters scored so far; the latest reads on track. A row is permanent: a miss stays on the record after it is fixed.

Click any quarter above to read its full record — the numbers, every marker’s score, and why the numbers moved. A dashed chip is a quarter not yet checked.

M1 — partly met. The bar: Volume growth gets back to the 18% a year management guided (wire and cable volume growth >= 18%). Where it stands: Volume growth is still short of the 18% a year management guided; the FY26 exit rate was 10% in the March quarter.

M5 — flagged. The bar: Targets stay stated on the same measure, with no quiet move from one profit line to a lower one (consistency of the guided measure no unexplained change of measure). Where it stands: The earlier move of the same 10.5% target to a lower profit line has still not been reconciled, so the flag stays raised.

FY26-Q2 — on track. A recovery quarter after a soft June: revenue ₹2,164 Cr, up 19.6% on the year, profit ₹116 Cr, up 132%, and margin back to 8%. First-half volume ran at 12% against the 18% management had promised — behind, not broken. The fans, lights and appliances arm was still loss-making, with management holding its line that it would be profitable at the operating level this year. Management blamed the soft June quarter on projects slipping into this one, a claim it downplayed one call later; that contradiction is on the said-versus-delivered record.

FY26-Q3 — on track. A record quarter: revenue ₹2,536 Cr, up 42.3%, profit ₹118 Cr, margin 8%. Cable-segment operating profit rose 64% — the operating-leverage story working exactly as promised — and the margin programme reported 100 basis points in the first half. Two things went on the record against it: the fans, lights and appliances arm was flat at the nine-month mark against a 20–25% growth promise, and the 18% volume promise was quietly reframed as a multi-year average rather than an FY26 number.

FY26-Q4 — watch. Revenue ₹2,964 Cr, up 33.6%, profit ₹168 Cr, up 30%, margin 9%. The core delivered: FY26 closed at 27.6% revenue growth and 58% profit growth, above the company's own guidance, and the margin programme banked 130 of its promised 300 basis points in year one. But break-even in fans, lights and appliances was missed and pushed a full year to FY27, for reasons — weather and input costs — never flagged before. And the FY28 target of 10.5% had by now moved from one profit line to a lower one with no explanation. Middle East disruption touched about 12% of revenue.

FY27-Q1 — on track. The strongest quarter on record: revenue ₹3,168 Cr, up 53.9%, profit ₹205 Cr, up 128%, and margin held at 9% for a third straight quarter. The margin programme stands at 130 of the promised 300 basis points. Volume growth is still short of the 18% guided. Break-even in fans, lights and appliances has been reset to FY27 — that carried miss is the thing to check next quarter. One new flag: the price has re-rated, so the cheap read in our June-2026 research file no longer applies.

Said versus delivered

What R R Kabel Ltd's management promised, set against what actually arrived — 6 tracked promises on the record. Scored in our research file, promise by promise. A promise that slipped stays on this page after it is met.

🚨 Said Nov 2025, repeated Feb 2026, due Mar 2026 quarter — missed. Promised: Break-even in the fans, lights and appliances arm at the operating level by the March-2026 quarter. February 2026: “we are almost on line because if you see even in this Q3, where growth was like almost flat, but still our losses are in the range of INR5 crores only. So we are quite hopeful to achieve breakeven in this quarter.” What arrived: Missed. April 2026: “What we planned to achieve as a break-even in FY26 could not be achieved… we are now targeting to achieve break-even in FY27.” The reasons given — bad weather and input costs — had never been flagged as risks before.

🚨 Said Aug 2025, due FY26 — missed. Promised: The fans, lights and appliances arm would be profitable at the operating level for the whole of FY26. August 2025: “now we are expecting that within this year, on yearly basis we will be at EBIT positive in FMEG.” What arrived: Downgraded three months later. February 2026: “while losses persisted on a year-on-year basis… we planned to reach break-even at the EBIT level by Q4 FY26.”

🚨 Said Aug 2025, due FY26 — missed. Promised: 20–25% growth in the fans, lights and appliances arm in FY26. August 2025: “Around anything between 20% to 25% growth we are expecting in our FMEG business.” What arrived: Flat at the nine-month mark. February 2026: “That is why we are flat at the nine-month level… Revenue for Q3 FY26 stood at 243 crores.” FY26 closed at about 3% growth.

Said Aug 2025, due FY26 — partly met. Promised: 18% volume growth in FY26 with 100 basis points of margin gain. August 2025: “our 18% volume growth guidance and 100 bps improvement in our margins is intact.” What arrived: After 12% in the first half, the November-2025 call reframed the same number as a multi-year average: “we have targeted 18% volume growth on CAGR basis… as per our plan we are on track only.” FY26 volume landed at 15%, the March quarter alone at 10%. Revenue and margin still beat: up 27.6% and 143 basis points.

Said May 2025, due FY28 — flagged. Promised: A 10.5% operating margin in wires and cables by FY28. May 2025: “We are targeting our EBITDA margins to improve and get double-digit margins by FY ’28 in the range of 10.5%.” What arrived: Six months later the same 10.5% was attached to a lower profit line. November 2025: “we have targeted having EBIT margins in wire and cable in the range of 10.5% to 11% kind of margins by FY28.” Same number, lower line, no explanation given.

Said Aug 2025, due Q2 FY26 — flagged. Promised: Weak June-2025 cable volume was blamed on projects slipping into the following quarter. August 2025: “few big projects which are going to delivered in second quarter. So we could not achieve that kind of volume growth in Q1 itself.” What arrived: Three months later the same management downplayed it. November 2025: “That was very little impact in that quarter also… it is not a very big contribution of spillover of contracts.”

Every quote above is taken word for word from the company’s own earnings calls.

Frequently asked questions