Paramount Narmadapuram plant targets Rs 1,200 crore FY29

Paramount Communications Limited expects its Narmadapuram facility to be partially commissioned in Q1 FY28 and to generate approximately Rs 1,200 crore in FY29 revenue, according to management. The Madhya Pradesh plant is intended to begin with existing 11 kilovolt, 33 kilovolt and 66 kilovolt cable orders while approvals for 132 kilovolt and 220 kilovolt products are obtained.

When will Paramount commission the Narmadapuram plant?

Paramount expects partial commissioning of the Narmadapuram greenfield plant in Q1 FY28. At the Q2 and H1 FY27 earnings call, management said foundation and civil works were under way and in line with schedule. It had placed critical-machinery orders early because delivery lead times are long, and it had started hiring for operational and plant-level positions in phases aligned with commissioning.

The Narmadapuram site will be Paramount's third manufacturing facility. Management said the existing Dharuhera and Khushkhera plants were operating at optimal utilisation, although the company is undertaking capital expenditure at both sites to raise revenue potential. For FY27, management expects revenue growth of 15% to 18% from the existing plants before the new site starts contributing in the following financial year.

The planned timing matters because the Q2 FY27 business was already led by power cables and B2B institutional customers. Domestic revenue was Rs 402.3 crore, or 71.8% of quarterly revenue, while power cables contributed 55.9% of revenue. Management positioned Narmadapuram as the next capacity addition for demand from transmission, distribution, renewables, railways, metro electrification and data centres.

How much revenue does Paramount expect from Narmadapuram?

Paramount expects approximately Rs 500 crore of revenue from Narmadapuram in FY28 and approximately Rs 1,200 crore in FY29. These are management projections rather than reported financial results. The Rs 700 crore increase between FY28 and FY29 reflects the planned ramp from partial commissioning in Q1 FY28 to wider utilisation and a larger product range.

The FY29 projection exceeds Paramount's Rs 1,089.8 crore revenue from operations in H1 FY27, indicating the intended scale of the new facility after ramp-up. In Q2 FY27, Paramount reported Rs 560.4 crore of revenue from operations, up 31.1% year on year and 5.9% quarter on quarter. Management retained its revenue goal of Rs 5,000 crore by FY31, linking it to Narmadapuram, deeper domestic penetration and a broader export presence.

Which products will use Narmadapuram capacity first?

Paramount said the major investment at Narmadapuram is a 220 kilovolt alternating-current power-cable line. However, final product approvals must progress up to 132 kilovolt and then 220 kilovolt, a process management said takes time. The plant is therefore not expected to operate initially at the full scale of its largest voltage range.

Paramount said it has a substantial order book for 11 kilovolt, 33 kilovolt and 66 kilovolt cables that can be produced before approvals for higher-voltage products are complete. Management said this would allow the plant to start manufacturing practically from day one, although utilisation would not initially match the capacity intended for the largest cable sizes. The early production plan uses established cable demand as a bridge to the 132 kilovolt and 220 kilovolt product range.

High-temperature, low-sag conductor capacity is the other disclosed early-use mechanism. Paramount reported an HTLS order book of more than Rs 200 crore as of the call date, while its total order book at September 30, 2026 was Rs 731 crore. Management said additional specialised-conductor capacity, including HTLS, will be installed at Narmadapuram, and described HTLS as a conductor that can carry more current on existing transmission towers with less sag.

How does Narmadapuram fit Paramount's current business mix?

Narmadapuram is planned to manufacture power cables up to 220 kilovolt, specialised conductors including HTLS, electron-beam cables and rubber cables. Management linked these products to transmission and grid-modernisation demand, alongside data-centre projects. Paramount also said it can manufacture conductors up to 765 kilovolt at present, while Narmadapuram will augment specialised-conductor capacity.

The current order mix provides context for the project. Power cable and specialised-conductor orders were Rs 575 crore of Paramount's Rs 731 crore order book at September 30, 2026, or about four-fifths of the total. The company does not generally take long-dated firm-price orders beyond three to four months because it books metal on the next working day after receiving a firm-price order, seeking to limit exposure to metal-price movements.

Exports remain a smaller component than domestic revenue in the latest quarter. Q2 FY27 export revenue was Rs 158.1 crore, or 28.2% of revenue, compared with domestic revenue of Rs 402.3 crore. Management expects United States exports to account for 25% to 30% of FY27 revenue and said it does not plan to move much beyond 30% of revenue from exports, leaving domestic cable and infrastructure demand as the larger part of the current mix.

What should readers track before the FY29 ramp-up?

The main execution item is the timing of approvals for 132 kilovolt and 220 kilovolt cable products. Management identified those approvals as a necessary step for the plant's largest-voltage ranges, while lower-voltage cables and HTLS are intended to support initial utilisation. The FY28 and FY29 revenue projections therefore depend on both physical commissioning in Q1 FY28 and product-qualification progress.

Order execution will also be relevant after commissioning. Paramount said its Rs 731 crore order book at September 30, 2026 comprised Rs 632 crore of domestic orders and Rs 99 crore of export orders. Management described the order book as firm orders and said firm-price orders are generally executed over three to four months, while variable-price orders can have longer delivery periods.

Working capital is another disclosed operating measure during the expansion. Net working capital was 108 days at the end of H1 FY27, versus 101 days at FY26-end, because Paramount accelerated supplier payments after its equity raise. Management expects 90 to 100 days in H2 FY27, while receivable days had improved to 66 from 79 at FY26-end. Net worth was Rs 920 crore and debt-to-equity was 0.14 times at September 30, 2026.

Conclusion

Narmadapuram is Paramount's planned capacity expansion after its two existing plants reached optimal utilisation. Management expects partial commissioning in Q1 FY28, approximately Rs 500 crore of revenue in FY28 and approximately Rs 1,200 crore in FY29. Initial output is planned to draw on 11 kilovolt to 66 kilovolt cable demand and HTLS orders before the higher-voltage cable approvals are complete.

The next disclosed milestones are progress on 132 kilovolt and 220 kilovolt approvals, the plant's initial production after Q1 FY28 and working-capital normalisation to management's 90-to-100-day target in H2 FY27. Management has retained its Rs 5,000 crore FY31 revenue goal, making the pace of Narmadapuram's ramp a stated part of its longer-term plan.