RR Kabel’s shares soared more than 10% to a fresh high as a result of the company’s strong performance in the September quarter of the 2023-24 fiscal. 

RR Kabel’s profit after tax (PAT) more than doubled to Rs 74.09 crore, up from Rs 35 crore in the year-ago quarter. The company’s revenue grew by 17.7% year-on-year (YoY) to reach Rs 1,609.70 crore. 

The wires and cables segment, which accounts for 90% of the company’s revenue mix, contributed significantly to this growth. Revenue in this segment rose to Rs 1,450.38 crore from Rs 1,218.45 crore in the previous year.

Additionally, the earnings before interest, taxes, depreciation, and amortization (EBITDA) witnessed a significant increase, jumping by 92.7% YoY to Rs 121.1 crore in Q2. Furthermore, the EBITDA margin improved by 293 basis points (bps), reaching 7.5%, up from 4.6% in Q2FY23.

RR Kabel is a prominent player in the consumer electricals sector and the 5th largest wires and cables company in India, with over 7% market share in the branded market. The company also has a strong presence in the fast-moving electrical goods market.

Additionally, the company’s board of directors has declared an interim dividend of Rs 3 per share on the equity shares with a face value of Rs 5 each for FY24. The board also approved the opening of a branch office in Dubai, United Arab Emirates.

Shares of RR Kabel hit a record high of Rs 1,549.95, surging nearly 10.5% from the last closing price on the National Stock Exchange (NSE). The scrip closed 8.8% higher at Rs 1,525.9.