Polycab India Ltd




Polycab India Ltd




ABOUT 

Polycab is India’s leading manufacturers of cables and wires and allied products such as uPVC conduits and lugs and glands. We have a range of cables and wires for practically every application. More recently Polycab has also launched a wide range of consumer electrical products like Fans, Switches, Switchgear, LED lights and Luminaries, Solar Inverters, and Pumps.

KEY POINTS 


Leadership 


Polycab has 25 manufacturing facilities at seven locations. 4 of the 25 facilities manufacture FMEG products. Comprehensive backward integration remains a key priority for the company.

Polycab is No 1 manufacturer of wires and cables in India with a market share of over 18%.

It has network of 3500+ dealers and distributors and reach to over 125,000 retail outlets.


Revenue Breakup 


In FY 20, 84% of the revenue came from wires and cables and 9% from FMEG. In FY16, 91.3% revenue was from wires and cables and only 3.8% from FMEG.

FMEG revenue has grown at 47% CAGR during FY15-FY20.


  • Market Cap₹ 20,374 Cr.
  • Current Price₹ 1,366
  • High / Low₹ 1,444 / 624
  • Stock P/E25.3
  • Book Value₹ 283
  • Dividend Yield0.51 %
  • ROCE29.3 %
  • ROE22.4 %
  • Face Value₹ 10.0
  • Industry PE17.4
  • Pledged percentage0.00 %
  • Profit growth17.4 %
  • Sales growth-12.5 %
  • PEG Ratio0.72
  • Sales growth 5Years13.4 %
  • CMP / FCF56.4
  • Debt to equity0.05
  • Reserves₹ 4,065 Cr.
  • Profit Var 5Yrs35.4 %
  • Free Cash Flow 3Yrs₹ 1,083 Cr.
  • Price to book value4.84
  • Price to Sales2.54
  • Return on assets20.8 %


 

PROS

  • Company has reduced debt.
  • Company is almost debt free.
  • Company has delivered good profit growth of 35.36% CAGR over last 5 years




Key Figures

as of March 2020

#1

Manufacturer of cables and wires in India

>18%

Market share of India’s organised cables and wires industry

25

Manufacturing facilities

3,500+

Dealers and distributors

1,25,000+

Retail outlets

40+

Countries where we exported in past few years

47%

5-year top-line CAGR of FMEG business

>95%

Sales from products manufactured in India



Our People

At Polycab, human capital is viewed as a key driver of business growth. 

In today’s world, where innovation and intellectual capital have become 

vital for organisation’s success, an increasing importance is being accorded 

to human resources. Polycab, as a brand, has always embraced it and 

centred its operations around it. We have invested considerable time and 

effort in ensuring our people practices are best in the industry.