KEI Industries Q2 FY27: Revenue up 39%, PAT +29%

What KEI Industries reported this quarter

KEI Industries Ltd reported a strong set of Q2 FY27 numbers, led by demand in its core wires and cables business. Revenue rose sharply year on year, while profit after tax also increased at a healthy pace. The company presented the results in an analysts and investors call held on October 22, 2026. The board approved the un-audited standalone and consolidated financial results a day earlier, on October 21, 2026. The disclosure was made under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, along with an audio recording link for the call.

Stock reaction: shares fall despite earnings growth

Despite the growth, KEI Industries shares fell after the results, with reports noting an intraday tumble of about 8%. The text also indicates the stock was down 4.60% at one point (KEIN -4.60%). The disconnect between earnings growth and the share move suggests the market was weighing profitability metrics and the sequential trend, not just year-on-year expansion. In this quarter, EBITDA was higher year on year but lower versus the previous quarter. The company also reported a lower PAT margin compared with the same period last year.

Revenue growth: strong year-on-year and quarter-on-quarter gains

KEI Industries reported Q2 FY27 revenue (net sales) of about ₹3,776 to ₹3,777 crore. One summary put revenue at ₹3,776.42 crore, up 18.56% quarter on quarter from ₹3,185.34 crore. On a year-on-year basis, revenue increased 38.52%, supported by broad-based demand in the wires and cables segment. The company attributed momentum to domestic wires and cables demand, higher dealer sales, and improved profitability in the first half.

Profitability: PAT rises, but margins soften

Profit after tax (PAT) for Q2 FY27 came in at ₹262.45 crore, compared with ₹203.51 crore in Q2 FY26, a year-on-year rise of 28.96%. However, PAT was down 4.26% sequentially from ₹274.14 crore in Q1 FY27. PAT margin also moderated to 6.95% in Q2 FY27 from 7.46% in Q2 FY26. The company’s operating margin was described as largely stable at 9.97% versus 9.88% in the same period last year.

EBITDA trend: year-on-year growth, sequential pressure

EBITDA for Q2 FY27 was reported at about ₹401 crore (₹401.05 crore in the investor presentation view), up 28.69% year on year from ₹311.63 crore. Sequentially, EBITDA declined 3.46% from Q1 FY27’s ₹415 crore. EBITDA margin for the quarter was 10.62% on net sales. Another data point in the text notes margin compression versus the previous quarter, with EBITDA margin down to 10.62% in Q2 from 13.04% in Q1, attributed to inventory valuation effects and EPC closure costs.

Segment detail: wires and cables dominate the sales mix

The wires and cables business continued to drive overall performance. Wires and cables sales in Q2 FY27 were reported at ₹3,639 crore, accounting for 96.35% of total sales. Within this, the domestic segment grew 45.76% year on year, while exports grew 7.27% year on year. Management commentary in the text also highlights strength across domestic wires and cables, exports, and extra-high-voltage products. Total wire and cable sales were stated to have grown 39.5% versus the same period last year.

Other key profit lines: operating profit and PBT

Operating profit in Q2 FY27 was reported at ₹376.53 crore, up 39.80% year on year, but down 4.88% quarter on quarter from ₹395.83 crore. Profit before depreciation and tax (PBDT) stood at ₹383.81 crore, up 29.02% year on year, and down 3.50% sequentially from ₹397.73 crore. Profit before tax (PBT) was ₹353.23 crore, up 27.40% year on year, and down 4.32% quarter on quarter from ₹369.16 crore. These sequential declines align with the margin and cost commentary referenced for the quarter.

Balance sheet and funding: debt rises, unutilised QIP proceeds noted

As of September 30, 2026, KEI Industries’ total debt (term loan plus working capital) was reported at ₹852 crore. This was higher than ₹251 crore as of March 31, 2026. The investor presentation also noted inclusion of unutilised QIP proceeds of ₹168.91 crore (including interest income). These disclosures provide context for investors tracking leverage and liquidity alongside operating performance.

Key numbers table (Q2 FY27)

Outlook: FY27 growth expectations referenced by management

Management commentary in the text indicates an expectation of more than 25% revenue growth for full-year FY27. This was referenced after the company delivered 31% growth in the first half (H1). While the company shared an audio recording of the analysts and investors call under Regulation 30, the text also notes that an earnings-call transcript was not published for the quarter, and that certain figures cited were sourced from the investor presentation.

What investors may track next

With revenue growth strong, the next set of questions for the market is likely to centre on margin trajectory and the reasons behind sequential softness in EBITDA and profit. Investors may also monitor working capital and debt trends, given the higher total debt reported as of September 30, 2026. Segment momentum in domestic wires and cables, export growth rates, and the contribution of extra-high-voltage products remain important operational indicators. Any further updates from the company through filings, presentations, or subsequent calls will help clarify how these trends evolve.

Conclusion

KEI Industries delivered strong year-on-year growth in Q2 FY27, with revenue around ₹3,777 crore and PAT of ₹262.45 crore, even as the stock fell after the results. Margins held close to last year but were weaker sequentially, and debt levels were higher versus March 2026. The company has guided to more than 25% revenue growth for FY27 after reporting 31% growth in H1, making upcoming disclosures and quarterly trendlines key for investors to watch.