KSH International Limited – Investor Presentation Summary
Key Operational Highlights
- Sales volume growth of 26% YoY in Q2 FY27 (compared to 23% in Q2 FY26).
- Capacity utilization of 76% based on available capacity of 57,845 MT as of September 30, 2026.
- Completed installation of 96% of planned capacity of 59,045 MT six months ahead of schedule.
- Specialized Magnet Winding Wires represented 74% of product mix in Q2 FY27 (vs 77% in Q2 FY26).
- Key drivers include increased capacity utilization, strong export growth, and pickup in Standard wire volumes during Q2 FY2027.
Segment-wise Performance
- Specialized Magnet Winding Wires: 75.3% revenue share (FY26), Q2 FY27 revenue growth of 87% YoY.
- Standard Magnet Winding Wires: 24.7% revenue share (FY26), experienced volume pickup in Q2 FY2027.
Financial Highlights
Q2 FY27 Performance:
- Revenue from Operations: ₹13,197 Mn (+85.33% YoY)
- EBITDA: ₹898 Mn (+94.79% YoY); EBITDA Margin: 6.80% (vs 6.47% in Q2 FY26)
- PAT: ₹480 Mn (+62.16% YoY); PAT Margin: 3.63% (vs 4.16% in Q2 FY26)
- Diluted EPS: ₹7.07 (vs ₹5.20 in Q2 FY26)
H1 FY27 Performance:
- Revenue from Operations: ₹24,839 Mn (+95.45% YoY)
- EBITDA: ₹1,641 Mn (+89.93% YoY); EBITDA Margin: 6.61% (vs 6.80% in H1 FY26)
- PAT: ₹902 Mn (+72.51% YoY); PAT Margin: 3.63% (vs 4.11% in H1 FY26)
- Diluted EPS: ₹13.29 (vs ₹9.20 in H1 FY26)
Drivers of financial performance: Higher revenue growth driven by strong specialized wires demand and export acceleration, operational efficiencies from capacity expansion.
Key Risks: Not explicitly disclosed in the presentation.
Geographical Revenue Split
- Export contribution: ~30% of revenue
- Export revenue growth: 108% YoY in Q2 FY27 (vs 22% in Q2 FY26)
- Export markets: 26 countries including Middle East, Europe, and USA
Balance Sheet Snapshot
- Total Debt: ₹3,413 Mn (Q2 FY27) vs ₹4,843 Mn (Q2 FY26)
- Debt/Equity: 0.38 (Q2 FY27) vs 1.38 (Q2 FY26)
- Net Average Working Capital Days: 52 (Q2 FY27) vs 70 (Q2 FY26)
- Total Equity: ₹8,989 Mn (H1 FY27)
- Financial Health Insights: Positive operating cash flow delivered in H1 FY2027, reduction in outstanding debt during Q2 FY2027.
Capex & Cash Flow Health
- Capital Expenditure: Phase 3 expansion approved to increase total capacity to 72,200 MT by Q1 FY2029.
- Operating Cash Flow: Positive OCF delivered in H1 FY2027.
- Investment Rationale: Focus on capacity expansion for Specialized Magnet Winding Wires to improve long-term product mix and support export penetration.
Strategic & R&D Initiatives
- Only Indian supplier approved for HVDC transformers
- Received domestic award for Specialized wires for HVDC transformers earlier in 2026
- Received test orders for HVDC in Europe
- Signed global long-term framework agreement with leading multinational OEM
- Expected impact: Address opportunities through higher wallet share of existing clients and addition of new OEMs
- Strategic Rationale: Maintain continuity of supply for large OEM customers, improve long-term product mix, strengthen market position
Industry Trends & Business Environment
- Transformer capacity in India to triple from ~110 GVA to ~300 GVA by FY28E
- Key drivers: Energy transition, EV Adoption, AI data centers, HVAC Supply chain localization, global grid upgrades
- High entry barriers: Ultra-precision technology engineered products, stringent vendor approvals, long qualification cycles
- Impact on Company: Positioned as leader in specialized wires with structural differentiation through technical capability + regulatory approvals + specialized product mix
Management Commentary & Growth Outlook
Strategic Outlook: "We focused on increasing utilization of our expanded capacity, particularly for Specialized Magnet Winding Wires, driven by domestic and international OEMs. Strong export growth fuelled higher contribution to revenue mix." - Rajesh K. Hegde, Managing Director
Capacity Guidance: Total capacity to reach 72,200 MT by Q1 FY2029 through Phase 3 expansion at Supa for Specialized Magnet Winding Wires.
Risks and Opportunities: Not explicitly detailed in the presentation.
Capital Market Information
- Face Value: ₹5.0
- CMP (as on Sept 30, 2026): ₹1,000.8
- 52 Week H/L: ₹1,198.00/₹330.15
- Market Cap: ₹67,809.90 Mn
- Shares Outstanding: 67.76 Mn
- Average Volume: 474.02 ('000)
- Top Shareholders: MALABAR Fund/Investment (2.45%), HSBC Mutual Fund (1.90%), HDFC Mutual Fund (1.18%), LIC Mutual Fund (1.07%)