Dynamic Cables Ltd.

Our reasoning

Wires and cables manufacturers in India are undergoing a period of unprecedented expansion. The industry typically grows 1.5x of GDP growth in India. The current market size of wire and cables stands at USD 21.22 billion in 2025, with a projected trajectory reaching USD 32.85 billion by 2030, CAGR of 11-13%. This robust growth forecast highlights the scale of the opportunity as the industry moves from unorganised to organised players and from low-voltage distribution to high-voltage transmission and speciality applications. EV charging infrastructure, semiconductors, metro, railways, and renewable energy projects are further expected to drive demand and fuel growth.

Dynamic Cables, over the last three years, has delivered a strong revenue/EBITDA/PAT growth of 24/30/45%. This growth was driven by the increased government capex in the power T&D, infrastructure, railway electrification, and a change in the revenue mix of the company. We expect the Dynamic Cables revenue, EBITDA, and PAT to grow at a CAGR of 22/20/29% over FY26-28E. The company’s new capex of ₹35-40 crore, coupled with the post debottlenecking initiative, will expand the company’s manufacturing capability. The new capex is expected to drive earnings growth through increased wallet share in the company’s existing customer base. Additionally, entry into solar cables, a strong order book (₹721 crores) and export focus (export order book at ₹90-100 crores) are expected to boost earnings.