Universal Cables FY26: ₹4.50 Dividend, ₹73 Cr Capex

Universal Cables Limited has announced a set of board decisions that combine shareholder returns, capacity and technology investments, and balance sheet flexibility. The company has recommended a dividend of ₹4.50 per equity share for FY 2025-26, subject to shareholder approval at the upcoming 81st Annual General Meeting (AGM). Alongside the dividend, the board approved a technological upgrade and modernisation plan for its EHV Cable facility at Satna, Madhya Pradesh, with an estimated outlay of ₹73 crore.

The board also authorised fund raising through the issuance of Non-Convertible Debentures (NCDs) or other debt securities up to ₹200 crore through private placement. In addition, Universal Cables announced key governance and leadership updates, including the appointment of a new Company Secretary and the planned retirement of an Independent Director on age-related grounds.

Dividend recommendation: ₹4.50 per share for FY26

Universal Cables has recommended a dividend of ₹4.50 per share for FY 2025-26. The dividend is described as a 45% payout on the company’s fully paid-up equity shares, each having a face value of ₹10. The payout is subject to shareholder approval at the company’s 81st AGM, consistent with the typical process for final dividends.

The company disclosed that the dividend recommendation covers 3,46,95,381 fully paid-up equity shares. If approved by shareholders, the dividend will be paid within 30 days, and the distribution will be subject to applicable tax deduction at source.

What the board approved alongside the dividend

Beyond the dividend, the board considered and approved audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, along with the Auditors’ Report. The company also reported that FY26 marked its highest-ever turnover, indicating a year of strong operating momentum.

Separately, the board granted authorisation for material event disclosures on May 23, 2026. The authorised personnel include Shri Y.S. Lodha (Managing Director and CEO), Shri Gopal Agarwal (CFO), and Shri Ajay Kumar Sharma (Company Secretary and Chief Compliance Officer).

FY26 performance snapshot: turnover and profit growth

Universal Cables reported turnover of ₹3,022.67 crore for FY 2025-26, described as the highest-ever for the company. This was stated to be a 25.50% increase compared to the previous year. On profitability, the standalone net profit for the year was reported at ₹96.53 crore, representing a 68.52% year-on-year increase.

The company’s earlier interim performance disclosures also pointed to improving operating trends. For the quarter ended September 30, 2025, revenue from operations reached ₹814.29 crore, up about 27.60% year-on-year. During the same quarter, EBITDA margin was reported at 10.28%, improving by 152 basis points year-on-year.

₹73 crore EHV facility upgrade in Satna

The board approved a technological upgrade and modernisation plan for the EHV Cable facility at Satna, Madhya Pradesh, with an estimated project cost of ₹73 crore. The stated objective is to enhance precision manufacturing capabilities and align operations with evolving international quality, safety, and environmental standards.

The company expects this upgrade to strengthen its competitiveness in overseas markets. It also indicated that the facility will be better positioned to manufacture a wider product range that meets both domestic and international specifications.

Capacity expansion capex raised to ~₹550 crore

In a separate update, the company disclosed that capex for organic expansion was raised to approximately ₹550 crore, with phased completion by September 2026. Taken together with the Satna EHV modernisation, these initiatives show a clear focus on scaling and upgrading manufacturing capabilities.

While the company has not provided project-level revenue or margin expectations in the disclosed information, the stated intent is to improve capability, product compliance, and export competitiveness.

Fund raising: NCD issuance authorised up to ₹200 crore

The board authorised issuance of NCDs or other debt securities up to ₹200 crore via private placement. To execute this, the company constituted a Debenture Issue and Allotment Committee.

The company had earlier indicated that a proposal to raise funds via NCDs was part of the board agenda for the May 23, 2026 meeting, with a referenced fundraising goal of up to ₹150 crore in that context. The final board authorisation disclosed is up to ₹200 crore, as per the company’s later updates.

Key appointments and director change

Universal Cables appointed Shri Ajay Kumar Sharma as Company Secretary and Chief Compliance Officer, effective May 23, 2026. Sharma holds ICSI Membership No. A-9127 and will also be designated as Key Managerial Personnel.

On the board composition side, the company noted that Shri Bachh Raj Nahar, a Non-Executive Independent Director, will retire upon reaching the age of 75 on June 14, 2026. The company stated that the special resolution for his continued appointment was not passed. The board also noted his cessation as a director effective June 13, 2026.

Export momentum highlighted by ₹316.89 crore order

Universal Cables has also disclosed a major export order of approximately USD 38 million, stated as ₹316.89 crore, for the supply of 400kv EHV cable from the Middle East. The order was referenced in the company’s results-related update dated November 12, 2025.

This export order context aligns with the company’s stated rationale for upgrading its EHV capabilities, particularly where international specifications and compliance requirements are important.

Key numbers and dates at a glance

What investors will track next

The immediate next step for the dividend is shareholder approval at the 81st AGM. Investors will also watch for detailed terms, timing, and pricing related to the proposed NCD issuance, which will be overseen by the newly formed committee.

On the operations side, progress on the ₹73 crore Satna upgrade and the broader ~₹550 crore organic expansion program, with phased completion targeted by September 2026, will be key milestones to monitor through future disclosures.