Apar Industries Limited — Q2 FY26
Apar Industries reported a strong Q2 FY26 with consolidated revenue of ₹5,715 crore (+23.1% YoY) and EBITDA of ₹499 crore (+24% YoY), driven by volume growth across all division...
neutral
medium
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
73%Questions answered1Evaded / deflected11Questions auditedContradictedNumbers vs filing
Partial answer
High priority
Revision of EBITDA per ton guidance given consistent performance near INR 40,000?
Asked by Umesh Raut, Nomura
Acknowledged actuals above guidance but refused to revise guidance upward.
maintained conservative guidance despite outperformance
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Question
Any revision in terms of guidance now considering that consistent performance of EBITDA per ton, more of closer to INR 40,000 per ton?
Kushal Desai, Chairman and Managing Director
We will continue our guidance of 30,000 per metric ton. Despite that, we have got INR 35,000-INR 40,000 EBITDA per metric ton. For the time being, we'll continue to guide INR 30,000 per metric ton.
Partial answer
Medium priority
Breakdown of US demand between data centers and government projects.
Asked by Umesh Raut, Nomura
Provided qualitative view but no quantitative breakdown.
no exact breakup given
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Question
If you can divide that demand in case of data center and then other government-related projects, and where exactly do you see post-commitments happening?
Kushal Desai, Chairman and Managing Director
Data centers is definitely one of the major drivers. Our estimate is that the major part of the demand currently in the U.S. is actually coming because of the data centers. The second driver is also wind energy.
Evasive
Medium priority
Share of imports from Middle East and Europe into US market.
Asked by Umesh Raut, Nomura
Answered a different question about tariff mechanics, not the market share asked.
did not answer the specific share question
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Question
How much of that portion which is coming in from Middle East and Europe into U.S. market as a part of total demand?
Kushal Desai, Chairman and Managing Director
Explained Section 232 tariff structure but did not provide the requested share.
Answered
High priority
EBITDA margin outlook for cables business.
Asked by Umesh Raut, Nomura
Provided clear margin range guidance.
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Question
How should one think about EBITDA margin in the cables business going forward?
Kushal Desai, Chairman and Managing Director
On a medium to long-term basis, we expect the margins to hover around 10%-12%, as we have been guiding earlier.
Declined
Low priority
Breakup of cables margins by end-user market.
Asked by Umesh Raut, Nomura
Explicitly declined to share the requested breakdown.
refused to provide breakup
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Question
Is it possible to share any breakup in between end-user markets where you experience relatively higher margin?
Kushal Desai, Chairman and Managing Director
No, there is no fixed pattern as such. It all depends on the composition, on the requirements, on the mixed specifications.
Answered
High priority
Impact of metal price rise on gross margins.
Asked by Amit Anwani, PL Capital
Clearly stated no impact due to hedging.
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Question
What is the assessment with respect to impact of this metal prices in the near term? Any impact on the gross margin?
Kushal Desai, Chairman and Managing Director
The answer to that is no because we run a completely hedged book. So we do not take on the risk of the metal.
Partial answer
High priority
Impact of tariffs on US sales in Q2.
Asked by Amit Anwani, PL Capital
Qualitative description of impact but no quantified effect on sales.
no specific percentage impact given
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Question
Any impact you witnessed, if you could explain any amount or percentage where, despite negotiation with the customer, we had an impact on sales in U.S. markets?
Kushal Desai, Chairman and Managing Director
For almost two months, which is your August and September of the last quarter, the order inflow had almost completely stopped. This would definitely have a short-term impact in our booking of revenues in Q3 of FY26.
Answered
Medium priority
Reason for low domestic cable sales growth.
Asked by Amit Anwani, PL Capital
Explained seasonality and shift to exports.
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Question
For cables, I think the sales was about INR 85 crores for domestic business, which is kind of hardly 1-2% growth. Any reason there?
Kushal Desai, Chairman and Managing Director
The domestic market Q2 is normally the slowest period. The power cables work really stops quite dramatically in Q2. So we took that period to actually complete all the U.S. export orders.
Answered
High priority
Impact of tariffs on US EBITDA pattern for conductors and cables.
Asked by Amit Anwani, PL Capital
Explained hit but passed through to customers, no net impact.
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Question
Has there been any impact on the U.S. EBITDA pattern? If you could just highlight negative or positive because of the recent developments of tariff.
Kushal Desai, Chairman and Managing Director
The EBITDA pattern for the U.S. markets across both conductors and cables have both obviously taken a hit. But we have been able to pass on this hit to the customers. So there is no net impact on our profitability.
Partial answer
Medium priority
Impact on cables growth if tariff situation resolves.
Asked by Prathmesh Salunkhe, PL Capital
Discussed near-term impact but did not quantify next year's growth.
no specific growth rate for next year
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Question
If and when this tariff situation resolves, what kind of impact we can see going forward? Can the cables business maintain this kind of growth in next year as well?
Kushal Desai, Chairman and Managing Director
There will be a definite impact in Q3 of FY26 because there were two months of really no order inflow. As we get into Q4 onwards, you will see again the momentum starting to pick up.
Answered
High priority
Is US revenue slowdown only in Q3 with Q4 recovery?
Asked by Nitin Arora, Axis Mutual Fund
Confirmed Q3 slowdown and Q4 recovery with order inflow details.
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Question
Is just the U.S. revenue part which you see some slowness coming in Q3, and Q4 is where you again start seeing a bump up? And is the order run rate similar?
Kushal Desai, Chairman and Managing Director
On the order flow, constant inquiry has been coming. We've seen a large intake come in at the end of October. So you'll see a reasonably strong execution happening from November onwards.
Answered
Medium priority
Progress on conductor capacity expansion and timeline.
Asked by Kumari Nitisha, ICICI Securities
Provided clear timeline for capacity completion.
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Question
What is the progress on that, and by when do we expect the entire capacity to come online?
Kushal Desai, Chairman and Managing Director
It is all going as per schedule. The bulk of it will be done by March 26, and some part of it will get done by the Q1 of the next financial year.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| Cables EBITDA margin guidance 10%-12% | 11% | 8.7% | Overstated vs filing |
| US revenue FY25 full year INR 1,600 crores | ₹1,600 cr | ₹5,715 cr | Understated vs filing |
| US revenue H1 FY26 already INR 1,600 crores | ₹1,600 cr | ₹5,715 cr | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.