5:1 Bonus Issue: This wire maker company shares rally as profit jumps 177% and bonus issue announced; check details

Wire and cable maker V-Marc India Limited has posted a sharp jump in both revenue and profit for FY26, marking one of its strongest annual performances in recent years, driven by higher volumes, better capacity utilisation and stronger demand across segments.

The company reported consolidated revenue of Rs 1,797.31 crore in FY26, up 99 per cent from Rs 904.87 crore in FY25. The performance came in well above its initial guidance of 40–50 per cent growth, suggesting sustained momentum through the year rather than a one-off spike.

Strong second half drives numbers

The growth curve was particularly steep in the second half of FY26. Revenue in H2 stood at Rs 1,105.76 crore, nearly double year-on-year and about 60 per cent higher than H1 FY26.

Management commentary indicated that improved execution in the distribution channel and higher utilisation at manufacturing units played a key role in the back-ended growth trend.

EBITDA more than doubles

On the operating front, EBITDA rose to Rs 200.8 crore in FY26 from Rs 97.1 crore in the previous year, a jump of 107 per cent.

Margins improved slightly to 11.2 per cent, aided by operating leverage across employee costs, logistics and finance expenses.

Profitability shows steep rise

Net profit witnessed an even sharper rise. Consolidated PAT stood at Rs 100.05 crore in FY26, compared with Rs 36.09 crore in FY25, a growth of 177 per cent year-on-year.

PAT margins expanded to 5.6 per cent, while earnings per share came in at Rs 40.97 for the year.

Big corporate action: 5:1 bonus issue

Alongside its annual results, the board of V-Marc India Limited approved a 5:1 bonus issue, one of the most aggressive capital actions announced by the company so far.

Under the plan, shareholders will receive five new equity shares of Rs 10 each for every one share held. The company will issue more than 12.21 crore bonus shares, capitalised from free reserves and share premium worth Rs 122.10 crore.

To support the expanded equity base, the authorised share capital has been increased from Rs 30 crore to Rs 150 crore.

Market reaction strong

The stock reacted positively to the earnings and bonus announcement. Shares of V-Marc India were seen trading at Rs 1,203, up about 6 per cent from the previous close of Rs 1,133.15. During the day, the stock also touched Rs 1,260, marking an intraday gain of nearly 11 per cent before cooling off.

The company now commands a market capitalisation of Rs 2,906 crore and trades at a price-to-earnings multiple of 29. Ace investor Ashish Kacholia holds 6.61 lakh shares, translating into a 2.7 per cent stake.

FY27 outlook stays aggressive

Management has guided for over 40 per cent revenue growth in FY27, while EBITDA margins are expected to remain in the 11–12 per cent band.

The company also plans a capex programme of around Rs 500 crore through FY30 to expand installed capacity beyond 10 lakh circuit kilometres.

Business profile

V-Marc India Limited operates manufacturing facilities in Uttarakhand and Maharashtra and supplies a wide range of wires and cables including building wires, industrial cables, and HT/LT cables. Its customer base includes government utilities, EPC contractors and a dealer network spread across more than 1,200 partners in 24 states.