Polycab bag orders worth nearly Rs 5,650 crore from BSNL in 2 Days

The largest wire and cable manufacturer in India and one of the FMEG businesses with the quickest rate of growth is Polycab India Limited (PIL). Through a robust distribution network of authorized dealers and retail locations, PIL is at the forefront of offering cutting-edge, secure, and energy-efficient products to a wide range of consumers. PIL has also provided services to clients in more than 70 nations worldwide. 

Polycab turned out to be BSNL’s lower bidder

The business that placed the lowest bid on a project from Bharat Sanchar Nigam Limited (BSNL) was Polycab India. For the development, modernization, management, and upkeep of the middle-mile Bharat Net network in Karnataka, Goa, and Puducherry, Polycab India has emerged as the lowest bidder, according to a stock exchange filing.

Information about Polycab’s BSNL project

The project will be carried out using a Design, Build, Operate, and Maintain (DBOM) model by the company. The company told the stock exchanges that the order was worth Rs. 4099.69 crore. In three years, the business will start building the middle mile network.

In accordance with the agreement, Polycab India will also maintain the project for ten years. The initial five years’ maintenance will cost 5.5% of the capital expenditure annually, and the subsequent five years’ maintenance will cost 6.5%.

The Q2 FY25 results for Polycab

Polycab India’s consolidated revenue from operations for the September quarter of FY25 increased by over 30% to Rs. 5,498.4 crore from Rs. 4,217.7 crore the year before. In the September quarter of FY25, the company’s operating revenue climbed by 17% from Rs. 4,698 crore in the June quarter.

Compared to Q2 FY24, when the company’s net profit was Rs. 429.77 crore, it climbed more than 3% to Rs. 445.21 crore in the second quarter. The company’s profit-after-tax increased sequentially from Rs. 401.62 crore in Q1 FY25 by almost 11%.

The share price of Polycab

The price of Polycab shares increased by more than 4% yesterday, reaching a peak of Rs. 6907.1 per share on the BSE on November 6, the day the company was the lower bidder for BSNL. Over the past year, Polycab India’s stock has increased by almost 32%. The stock is currently trading at Rs. 6,840.15, a slight decrease from the high price of Rs. 6,950.00 per share today.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.