This article first appeared on GuruFocus .
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Revenue:INR 1,168 crores, 25% year-on-year growth.
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EBITDA:INR 57 crores.
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Net Profit:INR 20 crores.
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Sales Volume:112,000 metric tonnes, up from 104,000 metric tonnes in Q1 FY26.
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Operating Cash Flow:INR 121 crores.
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Free Cash Flow from Operating Activities:INR 120 crores.
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Release Date: July 23, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Bansal Wire Industries Ltd ( BOM:544209 ) achieved a 25% year-on-year revenue growth, reaching INR1,168 crores for the quarter.
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The company successfully navigated operational disruptions by recalibrating operations and increasing reliance on alternative energy sources.
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Bansal Wire Industries Ltd ( BOM:544209 ) received its first trial order for its Steel Cord business from a leading Indian tire manufacturer, marking a significant milestone.
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The IHT wire business is progressing well, with customer approvals advancing and the business scaling up ahead of expectations.
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The B2C segment showed promising growth, contributing approximately 10% of sales during the last quarter, reflecting successful product diversification.
Negative Points
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The company faced increased input costs due to geopolitical tensions, impacting profitability in the first half of the quarter.
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Bansal Wire Industries Ltd ( BOM:544209 ) absorbed higher costs instead of passing them to customers, which temporarily reduced EBITDA margins.
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The quarter experienced subdued demand and destocking at the customer end, affecting overall growth.
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The company operates on a cost-plus model, which can lead to margin fluctuations due to sudden changes in raw material prices.
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Despite improvements, the company still faces challenges in achieving its target of 20% growth for the rest of the year due to ongoing uncertainties.
Q & A Highlights
Q: How did Bansal Wire Industries manage the impact of geopolitical tensions on growth and margins in Q1? A: Pranav Bansal, MD and CEO, explained that the first 45 days of Q1 saw a significant increase in consumable prices, particularly gas, which the company chose not to pass on to customers. This decision temporarily reduced EBITDA margins from INR7 to INR2 per kg. However, new orders were booked at adjusted prices, restoring margins to INR7-8 per kg. The company is confident in achieving its growth targets for the year despite these challenges.
Q: Can you provide an update on the steel cord business and its progress? A: Pranav Bansal stated that the company received its first trial order from a leading Indian tire manufacturer, marking progress in the steel cord business. The approval process involves multiple stages, and while the company cannot disclose the customer's name, they expect more trial orders soon. The timeline for final orders depends on the trial results, typically taking six to eight months.
Q: What is the outlook for the IHT and OHT wire businesses? A: Pranav Bansal noted that the IHT wire business is progressing well, with 80% of customer approvals secured. The company expects to reach optimal capacity utilization within the year. The combined EBITDA for IHT and OHT wires is projected to be INR10-20 per kg once optimal utilization is achieved.
Q: How is the B2C segment performing, and what are the future targets? A: Pranav Bansal highlighted that the B2C segment contributed 10% of revenue in Q1 and aims to reach 25% of total sales. The segment offers better margins than B2B, with 20-30% higher EBITDA per tonne. The company plans to continue expanding its B2C offerings to capture more market share.
Q: What are the company's plans for future CapEx and capacity utilization? A: Pranav Bansal explained that the company plans to invest INR200-250 crores annually to support 20-25% growth. The strategy is to maintain 20-25% excess capacity at the start of each year to accommodate growth. The company manufactures over 50% of its equipment, allowing flexibility in deploying CapEx as needed.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
