General Updates

FCL:SEC:SE:26:72 28th September, 2026 Corporate Relations Department The Manager BSE Limited Listing Department 1st Floor, New Trading Ring National Stock Exchange of India Ltd Rotunda Building, P J Towers `Exchange Plaza’, C-1, Block G, Dalal Street, Fort Bandra – Kurla Complex, Mumbai – 400 001 Bandra (E), Mumbai – 400 051 Scrip Code: 500144 Scrip Code: FINCABLES Sub: Chairman’s speech delivered at 58th Annual General Meeting (58th AGM) of the Company. Dear Sir/Madam, Please find enclosed a copy of the Chairman’s statement delivered at 58th Annual General Meeting of the Company held on Monday, 28th September, 2026. Thanking you, For FINOLEX CABLES LIMITED Nirnoy Sur Company Secretary & General Manager (Legal) Encl: As above Registered Office: 26-27, Mumbai-Pune Road, Pimpri, Pune – 411018. Tel: 020 27506200. Visit us at: www.finolex.com | Email: sales@finolex.com | CIN: L31300MH1967PL016531 Chairman's Speech 58th Annual General Meeting of Finolex Cables Limited Monday, 28th September 2026 Good morning, ladies and gentlemen. On behalf of the Board of Directors, I extend a warm welcome to you all to the 58th Annual General Meeting of Finolex Cables Limited. Thank you very much for joining us today. Your continued participation, support, and engagement are deeply valued and serve as a constant source of encouragement, inspiring us to remain committed to building a stronger and better future. The Notice convening this Meeting, along with the Directors’ Report for the Financial Year 2025–26, has already been circulated to all members. With your permission, I shall take the same as read. The Auditors’ Report has been duly approved and is in compliance with all applicable statutory requirements. An Eventful Year FY 2025–26 was a year of opportunity amidst uncertainty. The global environment remained resilient, but increasingly complex, with geopolitical tensions, trade uncertainties and volatile commodity prices continuing to shape the operating landscape. India, however, remained a key bright spot, with GDP growth estimated at 7.6%, supported by strong domestic consumption, sustained infrastructure spending and continued policy momentum. Against this backdrop, our business faced margin pressures in the final quarter, driven by higher raw material costs and currency volatility following geopolitical developments in the Middle East. Despite these challenges, our diversified portfolio and disciplined execution enabled us to outperform the broader industry. While the organised wire industry is estimated to have grown by 15–16%, your Company delivered a strong 19% revenue growth. We remain focused on protecting business continuity, strengthening operational resilience and positioning the Company for sustained growth. We are also pleased to have further strengthened our distribution network and market reach. We continue to maintain a leading position in India’s organised wire industry, with a presence across 28 states, 8 Union Territories and 26 depots. This extensive footprint is supported by approximately 5,000 channel partners and over 2,15,000 retailers with an aim to extend to 2,50,000 retailers, providing us with strong market access and a scalable platform to capture the opportunities ahead. Financial Performance: Robust Growth Despite Margin Headwinds Despite a challenging environment in the closing months of the year, your Company delivered another year of healthy financial performance: • Revenue from operations grew 19% to ₹6,321 crore (FY 2024-25: ₹5,319 crore), driven primarily by our Electrical business which continues to be our primary growth driver. • Q4 recorded our highest-ever quarterly revenue of ₹1,951 crore, up 22% both year-on-year and sequentially. • EBITDA grew 14% to ₹868 crore, underscoring continued operational discipline. • PAT grew 14% to ₹623 crore, with PBT at ₹806.93 crore, up 13% over the previous year. • The moderation in profitability relative to our revenue growth was largely on account of higher raw material costs in the closing weeks of the year. We also consciously built inventory by approximately ₹300 crore to secure raw material availability and ensure uninterrupted production in the months ahead, a deliberate decision that, while impacting operating cash flows in the short term, strengthened our ability to serve customer demand. • Our Electrical Business recorded segment revenue growth of 22% to ₹5,490 crore and EBIT up 18% to ₹563 crore, led by broad-based growth across power cables with 21% volume growth, industrial flexible cables with 17%, and auto cables to nearly 30%. • Our Communication Cables Business saw a significant turnaround in the second half of the year; while full-year revenue remained broadly stable, Q4 revenue grew 32% year-on-year and segment EBIT grew 70% for the full year, as global fibre demand improved. • Our balance sheet remains strong, with a cash-surplus, near-zero debt position that gives us the flexibility to pursue our next phase of growth. Given this performance, your Board has recommended a dividend of ₹9 per equity share, 450% of the face value of ₹2 each, reaffirming our unwavering commitment to shareholder returns. Strategic Initiatives Driving Future Growth FY 2025–26 was an important year in our strategic journey, with focused investments undertaken to strengthen our competitive position and lay a strong foundation for sustainable, long-term growth: 1. We invested approximately ₹240 crore in capital expenditure during the year, including our investment in the Sumitomo joint venture, and have planned a further ₹200 crore of investment in FY 2026-27. All of these investments, current and planned, continue to be funded entirely through internal accruals. Our cash-surplus, near-zero debt position means we can pursue this next phase of growth without recourse to external borrowing. 2. In Electrical Cables, we have increased our power cable exposure to utility-side projects, have ventured towards product differentiation through our E-Beam curing plant and believe that Solar Cables would be the next major revenue stream. 3. We commissioned Phase 1 of our optical fibre preform facility, further strengthening backward integration within our communication business. This has taken our preform capacity to approximately 100 tonnes, equivalent to around 4 million kilometres of fibre. With strong demand emerging from data centres and AI-led applications, we are accelerating the commissioning of Phase 2, involving an investment of approximately ₹100 crore, which will double our preform capacity to nearly 8 million kilometres of fibre. With this we became only the second Indian company with in-house optical fibre preform manufacturing capabilities. 4. Our solar cables continued to witness excellent customer acceptance and we are now operating close to full capacity utilisation. This progress has been strong enough to warrant the placement of an order for a second E-beam solar line, effectively doubling our capacity in this segment. 5. Finolex J-Power Systems, our Extra High Voltage cable joint venture with Sumitomo, turned profitable for the first time, delivering revenue of approximately ₹450 crore and a profit of around ₹21 crore. This marks a key inflection point for the business and validates our investments in the high-voltage transmission segment, providing a stronger platform for growth as power transmission infrastructure continues to expand. 6. We also seek to position ourselves as a comprehensive “Total Electricals Solutions” provider by maintaining our focus on the growing FMEG segment wherein we are introducing new models under design across all categories within the upcoming 6 months. 7. We have substantially completed the acquisition of land in Gujarat, creating a ready platform for the next phase of capacity expansion. This provides us with the flexibility to scale our manufacturing footprint as demand and market opportunities evolve. Future Outlook: Positioned for the Next Phase [Showing first 8,000 characters — download PDF for full document]