Cables Sector: Comprehensive Industry Analysis And Company Deep Dive

Summary: The Indian Cables sector is experiencing a robust growth phase, driven by significant government infrastructure spending, a buoyant real estate market, rapid expansion in renewable energy, and increasing industrial and private sector capital expenditure. The industry is characterized by a shift towards organized and branded players, technological advancements in specialized cables (EHV, OPGW, data center, solar), and a growing focus on exports. Leading players like Polycab India, KEI Industries, and R R Kabel are demonstrating strong financial performance with double-digit revenue and profit growth, expanding margins, and aggressive capacity expansion plans. Niche players like Advait Energy Transitions are capitalizing on the New and Renewable Energy (NRE) and Power Transmission Solutions (PTS) segments, while Dynamic Cables and JD Cables are focusing on specific product categories and regional strengths. Despite global economic uncertainties, commodity price volatility, and emerging competition, the overall outlook remains highly positive, with companies projecting sustained high-teen to 20%+ CAGR growth for the foreseeable future, underpinned by India's ambitious infrastructure and energy transition goals.

A. Industry Overview & Market Landscape

The Indian Cables sector forms the backbone of the nation's electrification, infrastructure development, and industrial growth. It encompasses a wide array of products, from low-voltage (LV) and medium-voltage (MV) wires and cables used in residential and commercial buildings to high-voltage (HV) and extra-high-voltage (EHV) cables critical for power transmission and distribution, as well as specialized cables for renewable energy, data centers, defense, and automotive applications. The industry is currently in a dynamic growth phase, marked by significant investments and evolving technological demands.

Total Addressable Market Size and Growth Rates: The Indian wires and cables market is projected to grow from USD 21.22 billion in 2025 to USD 32.85 billion in 2030, exhibiting a Compound Annual Growth Rate (CAGR) of 9.14% during this period, as highlighted by JD Cables Limited. R R Kabel Limited further contextualizes this, stating that the expected industry growth is around 13%-14%, which is approximately double the country's GDP growth rate. This indicates a strong underlying demand exceeding general economic expansion. Polycab India Limited, a market leader, aims to grow its Wires & Cables segment at 1.5x to 2x the industry growth rate, demonstrating confidence in outperforming the market. Similarly, Dynamic Cables Limited targets a long-term growth rate of 1.5x industry growth, suggesting that if the industry grows at 12-13%, the company aims for 20%, and if the industry grows at 8-9%, the company targets 13-14%. These projections underscore a robust and expanding market.

Market Structure and Segmentation:

1. By Product:
   • Wires & Cables (Core Segment): This is the primary revenue driver for all major players. It includes:
     • Low Voltage (LV) & Medium Voltage (MV) Cables: Used extensively in residential, commercial, and industrial applications (e.g., building wires, winding wires, power cables). Polycab's Wires & Cables revenue grew 21% YoY in Q2 FY26 and H1 FY26. R R Kabel's Wires and Cables segment revenue grew 22.3% YoY in Q2 FY26 and 19.3% YoY in H1 FY26. JD Cables reported that Cables & Wires contributed 80.68% of its total revenue in FY25.
     • High Voltage (HV) & Extra High Voltage (EHV) Cables: Critical for power transmission and distribution. KEI Industries reported a 76% growth in Domestic Institutional EHV Cable sales in Q2 FY26 (INR128 crores vs INR73 crores last year) and 61% growth in H1 FY26 (INR244 crores vs INR152 crores last year). Polycab is commissioning an EHV plant by end of FY27, with benefits expected from FY28. R R Kabel aims for production capabilities up to 220 kV. Dynamic Cables reported HV sales contributing 55% of its H1 FY26 product mix.
     • Specialty Cables:
       • Solar DC Cables: Dynamic Cables sees this as a significant growth area, with current solar cables contributing 10% to 15% of revenue and potential to touch 20%. KEI also identifies solar projects as a key driver.
       • Data Center Cables: KEI has all 8-9% SKUs for data centers. Dynamic Cables is developing new cables and engaging with customers for vendor registration in this segment. R R Kabel also focuses on data centers.
       • Optical Fiber Ground Wire (OPGW) Cables: Advait Energy Transitions Limited (AETL) has a strong presence in OPGW business, executing projects in challenging terrains like Leh and Ladakh (250 km of stringing on live line at 12,500 feet, -15 degrees Celsius). JD Cables also mentions surging need for faster data transmission, including c