Polycab FMEG revenue jumps 124% on solar inverter trading

Polycab India reported that its FMEG segment revenue increased by 124% year-on-year in the second quarter of FY27. According to the company, solar inverters represent the largest category within this portfolio. The firm’s solar business model is limited to trading activities.

Trading Model and Margins

During Q2 FY27, the FMEG division achieved an EBIT margin of 10.1%. Aditya Nathany, Polycab India’s head of investor relations, defined the business scope by noting, "we are only doing inverters in the solar category. So that's largely a trading business for us." Currently, the firm does not engage in the production of solar inverters or modules, nor does it handle installation services.

The 10.1% EBIT margin represents the net operational profit remaining after deducting expenses related to acquiring and distributing these external units. Although overall segment results are shared, distinct data points regarding the solar inverter line’s individual revenue share, order backlog, or sales velocity were absent from the provided disclosures.

Product Portfolio and Supply

Polycab India’s solar inverter trading portfolio spans a capacity range of 2 kW to 350 kW. This breadth covers both small-scale residential applications and larger commercial or industrial installations. To date, the company has supplied more than 11 lakh inverter units. These shipments represent a cumulative capacity of 6 GW. The volume reflects the total hardware distributed through its trading operations since the inception of this business line.

Future Product Roadmap

• Polycab India plans to launch a 500 kW utility-scale inverter platform within the next year.
• The company intends to expand its product line to encompass hybrid inverters and battery energy storage systems (BESS).
• These moves align with growth drivers including the PM Surya Ghar: Muft Bijli Yojana, state-level support programs, and rising consumer adoption of renewable energy.

The 500 kW platform is designed for large-scale utility applications, distinguishing it from the current 2 kW to 350 kW trading portfolio.

Background

In 2012, Polycab India made its initial foray into the solar industry by launching solar DC cables, subsequently broadening its offerings to feature on-grid inverters in 2016. The firm’s wider FMEG segment further covers diverse electrical items, such as fans, lighting, switches, switchgear, conduits, pipes, and fittings.

Present trading dynamics unfold amidst substantial growth in the Indian market. On 20 October 2026, Luminity reported that the nation added almost 50 GW of fresh solar capacity during 2025, thereby securing its position as the globe’s second-biggest solar market. This identical report highlighted that India’s local inverter manufacturing is mainly defined by the final assembly of imported parts, rather than through vertical integration.

Manufacturing Intent and Market Context

Polycab's leadership indicated that the firm would explore producing solar inverters should a compelling prospect emerge. Although the solar segment is anticipated to boost its share of the total business mix, the firm refrained from revealing specific figures for standalone revenue, the order backlog, or the sales velocity of its solar inverter operations.