Salzer Electronics Ltd

- For FY26 and FY27, Salzer Electronics Limited does not plan any major capital expenditure (CapEx), expecting around INR 20 crores or below, which is mainly maintenance and balancing CapEx (Page 16). - Long-term borrowings have remained almost stable with no significant increase noted (Page 12). - The company has seen an increase in short-term loans, mainly due to smart meter execution (Page 12). - No explicit mention of new fundraising through debt or equity was made during the Q2 and H1 FY26 earnings call. - Overall, there is no indication of any upcoming significant fundraising plans via debt or equity as per the discussed period.

- For FY26, Salzer Electronics does not plan any major CapEx as significant investments were made in the past two years. - Expected total CapEx for FY26 is around INR 20 crores or below, mainly for maintenance and balancing CapEx. - Capacity utilization for wire and cable segment is around 60%, with plans to invest in capacity expansion when utilization approaches 80-90%. - Industrial switchgear business capacities are dynamic and scaled as per demand without heavy CapEx. - Smart meter business is in the early stages, with full existing capacity yet to be utilized; future CapEx plans will align with growth. - No specific mention of strategic investments beyond capacity and maintenance CapEx in the current call.

- Salzer Electronics expects around INR 1,600 crores revenue from legacy business in FY26, with approximately INR 840 crores already achieved in H1 FY26. - Additional smart meter revenue expected around INR 300-350 crores in FY26, targeting INR 400 crores overall. - Company maintains 18%-20% revenue growth guidance annually for wires and cables division for the next three years. - Export business is expected to grow around 7%-10% in the current year, with a medium-term goal to maintain exports at 27%-30% of total revenue. - Smart meter demand has a 10-year potential cycle, with an estimated 25 crore smart meters to be installed over the next five years and an additional 15 crore meters expected subsequently due to country growth. - Industrial switchgear business expected to grow 25% or more in the current year, with capacities supporting such growth. - Overall, the company anticipates double-digit growth (18%-22%) in revenue with focus on profitable growth.

- Revenue Growth: The company maintains a strong growth outlook with an expected 18%-20% revenue growth for FY26 and the next three years, driven by legacy business and smart meter segments (Pages 5, 14, 17, 24). - EBITDA Margins: EBITDA margins are targeted at around 10%-11% for FY26, with legacy business margins expected at 9.5%-10% and improvement anticipated in the second half of the year (Pages 20, 24). - Profitability: Despite some short-term margin fluctuations due to product mix and one-off items, the company aims for sustainable profitable growth, with long-term focus on bottom-line expansion and shareholder value (Page 15). - Smart Meter Business: Expected revenue from smart meters is around INR 400 crores in FY26, with a 10-year growth cycle anticipated in this emerging segment (Pages 20, 24). - Export Business: Plans to maintain export revenue contribution around 27%-30% of total revenue, though current growth is slower (Pages 18, 19).

- Current smart meter pending order book: Around INR 22 crores (Order received earlier). - Letter of Intent (LOI) for smart meters: Close to INR 30 crores from the same customer. - Total addressable market for smart meters (Phase 1): 25 crore meters to be installed over 7 years. - Additional potential smart meter demand expected: INR 15 crores over the next 5 years due to growth. - Industrial switchgear and legacy products operate on a short order book cycle of 4-6 weeks. - Smart meter business is in the early stages with full capacity available for utilization. - Discussions ongoing with about 10 active AMISPs (Authorized Meter Installation Service Providers) for new orders. This reflects the current and expected order book scenario for Salzer Electronics as of Q2 FY26.