KEI Industries Ltd

- KEI Industries plans capital expenditure (capex) of around INR 600 to 700 crores annually for the next 2 to 3 years to add incremental capacity and sustain ~20% CAGR growth. - Total planned investment is approximately INR 2,000 crores over the next 3 to 4 years. - The company is investing in the second phase of the extra high-voltage (EHV) power cable capacity at the Sanand plant, expected to complete by Q4 FY27. - They are developing new facilities in Bhiwadi and Baroda, including manufacturing medium voltage compounds (currently imported) and galvanized steel wire (cable armor wire), aiming for backward integration. - No external borrowing is planned; capex will be funded via internal accruals. - An unutilized QIP amount of around INR 385 crores will be fully utilized in the current financial year for the EHV expansion at Sanand.

- KEI Industries expects around 17% to 18% volume growth in FY27, driven by capacity additions at the Sanand and Chinchpada plants. - Value growth is anticipated to be around 20%+ annually, factoring in sustained or increasing prices. - Export revenues are targeted to grow sharply, with export share guided at around 20% of total revenue for FY27. - EHV (extra high voltage) cable segment expects about 20% growth this year, with further capacity ramp-up from Sanand. - Operating leverage is expected to improve with more capacity coming online; EBITDA margins may improve by 20-25 basis points in FY27 and aim for 10.5%-11%. - For FY28, volume growth could approach ~20% with ongoing capacity scale-up in Sanand. - Pricing follows pass-through model, so revenue growth depends on metals prices (copper/aluminum). - The company foresees overall sales growth potentially exceeding 25% if commodity prices remain bullish.

- Volume growth guidance for FY27 is 17%-18%, primarily driven by new capacity additions at Sanand and Chinchpada plants. - With stable or rising metal prices, top-line (revenue) growth is expected to exceed 20%, potentially reaching 25%+. - Margins are expected to improve due to operating leverage; conservative EBITDA margin guidance is around 10.5%-11% for the current year. - Sanand plant ramp-up will contribute to approximately 0.5% incremental EBITDA margin improvement starting FY27-28. - Profit after tax growth in Q4 FY26 was 25.5%; ongoing strong volume and value growth should support continued profit expansion. - Operating leverage and cost management will aid margin expansion alongside capacity utilization increases. - Pricing is dynamically passed through in institutional sales, stabilizing EBITDA margins amidst raw material price fluctuations. Overall, KEI expects strong earnings growth fueled by volume increases, margin improvement from scale, and favorable pricing mechanisms.

- EPC order book: INR 309 crores as of March 31, 2026 - Extra High-Voltage (EHV) power cable order book: INR 625 crores - L1 EHV power cable order: INR 233 crores (pending orders) - Domestic cable institutional order book: INR 2,154 crores - Export cable order book: INR 497 crores - Total order book (excluding dealer distributor orders): INR 3,585 crores as of March 31, 2026 - Dealer distributor orders are supplied within 3 to 4 days and are not part of the order book figures

- KEI Industries Limited plans to fund its future capital expenditure entirely through internal accruals. - Annual capex is expected to be around INR 600-900 crores over the next 2-3 years. - The company will allocate approximately 60-70% of its accruals to capital expenditure and the balance 30-40% to incremental working capital needs. - KEI aims to remain a debt-free company for the next 4-5 years while growing at a 20% CAGR. - There is no mention of any current or future fundraising through debt or equity in the call transcript.