FCC

Delton Q1 Profit Rises, EBITDA Margin Improves to 8.74 per cent

2025-08-06

Delton Cables Ltd. (Delton), a leading manufacturer of low voltage and telecom cables in India, has announced its financial results for the first quarter ended 30 June 2025.

Q1 FY26 Highlights:

Delton reported revenue of Rs 1.57 billion, marking a 9 per cent year-on-year increase. The EBITDA for the quarter stood at Rs 137 million, reflecting a 38 per cent rise, while Profit After Tax (PAT) rose modestly by 2 per cent to Rs 30.8 million.

The EBITDA margin improved to 8.74 per cent, up from 6.9 per cent in the same quarter last year—an improvement of 184 basis points. This growth was largely attributed to a favourable business mix, with a higher contribution from the better-margin Engineering, Procurement, and Construction (EPC) segment.

In Q1 FY26, revenue distribution was as follows:

EPC: 51 per cent
Railways: 31 per cent
Telecom and Others: 18 per cent

The order book as on 30 June 2025 stood at Rs 3.09 billion, with 81 per cent comprising orders from the EPC and telecom segments, both known for higher margins.

Expansion Update – Plant III Operational:

To meet growing demand from the telecom sector, Delton commissioned its third manufacturing facility (Plant III) at Prithla, Haryana, on 7 June 2025. This facility, located adjacent to Plant II, was leased in Q4 FY25 as part of the company’s asset-light expansion strategy.

Managing Director Mr. Vivek Gupta remarked, “FY26 is shaping up to be a transformational year for Delton. Our Q1 performance reflects a steady start and an encouraging margin improvement. We remain focused on optimising our business mix, enhancing internal efficiency, and smart procurement to drive profitability and return on capital employed (ROCE).”

Delton’s efforts to align capacity expansion with market demands and its continued emphasis on high-margin segments position the company well for sustained and profitable growth.