Polycab flips a switch, powers ahead of Havells

Becomes leader in consumer electrical goods space, riding C&W growth and margin gains

- KRISHNA KANT

Mumbai-based Polycab India Ltd has overtaken Havells India Ltd as the bellwether in the consumer electrical goods space, ending the latter's decade-long leadership in the sector.

As on Monday, Polycab's market capitalisation (mcap) stood at approximately₹1.09 trillion, compared with nearly ₹ 1 trillion for Havells. Over the past 12 months, Polycab's mcap has risen 12 per cent while Havells' has declined 4.1 per cent. The cable and electrical goods maker has also surpassed its rival in both revenue and profit growth.

Polycab's rise reflects superior operational execution and financial discipline in recent years. Its earnings growth has been driven by market share gains in its core cables and wires business as well as fast-moving electrical goods (FMEG) - a segment Havells long dominated.

Havells has faced revenue and margin pressures across its switchgear, lighting, and electrical consumer goods divisions. Its aggressive expansion into home appliances - air conditioners, refrigerators, TVs, washing machines - via the Lloyd brand is yet to generate meaningful profit.

Polycab grows faster