Universal Cables Limited FY26 Comprehensive Financial Summary
Financial Performance Highlights
Universal Cables Limited reported strong financial results for FY 2025-26 with revenue from operations growing 25.5% to ₹3,022.67 crore (₹30,226.73 lakhs) from ₹2,408.39 crore in the previous year. Net profit surged 68.5% to ₹96.53 crore (₹163.11 crore on different basis), while EBITDA increased 42.75% to ₹288.96 crore. The export revenue stood at ₹169.04 crore, representing 5.59% of total revenue, with the EHV cable business showing approximately 33% year-on-year growth.
Dividend and Corporate Actions
The Board recommended a final dividend of ₹4.50 per equity share (45% on face value of ₹10), totaling ₹15.61 crore payout representing 16.17% of net profit. The record date is set for July 27, 2026, with payment scheduled on or before August 31, 2026. The company seeks shareholder approval at the AGM on August 3, 2026 to increase borrowing limits from ₹3,500 crore to ₹4,500 crore under Section 180(1)(c) of Companies Act, 2013.
Expansion and Capital Expenditure
The company incurred significant CAPEX of ₹208.76 crore during the year, completing flexible wire and multicore flexible cables facility at Verna (Goa) and new LV power cable facility at Satna. Ongoing projects include MV and EHV cables capacity augmentation with partial commissioning in Q3 FY26 and full operation expected by August/September 2026. A modernization plan of ₹73 crore is underway for the EHV cable facility at Satna.
Risk Management and Credit Ratings
Credit ratings were reaffirmed at CARE A/Stable for long-term bank facilities (₹1,079.00 crore enhanced from ₹836.43 crore) and CARE A1 for short-term borrowings (₹1,726.00 crore enhanced from ₹1,400.00 crore). The company maintained comprehensive risk management with 100% commodity hedging through LME derivatives covering copper (6,875 MT), aluminium (13,725 MT), and lead (1,200 MT). Foreign exchange risk exposure showed unhedged liabilities of ₹15,489.13 lakhs with detailed sensitivity analysis.
Corporate Governance and Shareholding
The Board composition includes 7 Directors (1 Executive, 6 Non-Executive including 4 Independent Directors) with 4 meetings held during the year. Shareholding pattern shows 99.29% dematerialization with 53.26% held by 5 shareholders owning over 1 million shares each. Key managerial personnel include Y.S. Lodha (Managing Director & CEO) and Gopal Agarwal (CFO).
Related Party Transactions and Associates
Significant transactions included ₹10,676.75 lakhs purchases from and ₹9,142.25 lakhs sales to associate company Vindhya Telelinks Limited (29.15% holding), which showed satisfactory performance despite payment delays in Jal Jeevan Mission projects. The joint venture Birla Furukawa Fibre Optics Private Limited (26.14% holding) achieved record profitability driven by strong global demand for optical fibers.
Employee Benefits and Liabilities
The company reported substantial employee benefit obligations including ₹2,052.48 lakhs gratuity liability and ₹237.88 lakhs pension liability. Defined contribution plans included ₹66.64 lakhs for Provident Fund and ₹243.18 lakhs for Family Pension Fund. Key management personnel compensation totaled ₹313.03 lakhs in short-term benefits.
Regulatory Compliance and Disclosures
The company complied with all SEBI Listing Regulations requirements with no penalties imposed in the last three years. Financial statements were prepared in accordance with Indian Accounting Standards (Ind AS) with unmodified audit opinion from BGJC & Associates LLP. CSR expenditure of ₹1.16 crore was incurred during the year, primarily for renovation of general wards at M.P. Birla Hospital, Satna.