Understanding the Business Environment

Supply Chain Diversification

Global infrastructure and industrial developers are aggressively adopting a 'China Plus One' strategy, diversifying their supply chains away from China. This global shift heavily favours quality-assured Indian manufacturers with significant scale.

Global Energy Transition & Digitisation

Accelerating investments in renewable energy infrastructure, electric mobility and digitisation are driving sustained international demand. For instance, the EU plans to invest USD 1.6 trillion in power grids and renewable energy projects by 2030. Simultaneously, global spending on the construction of AI-driven data centres is forecast to reach USD 49.0 billion by 2030, requiring massive deployments of highly specialised power and optical fibre cables.

Macroeconomic Headwinds

Despite a strong long-term demand outlook, the operating environment in FY 2025- 26 has been challenged by elevated U.S. tariffs and shifting trade dynamics. This tariff-related uncertainty remains a global overhang impacting players worldwide, necessitating a highly agile approach to geographic risk management while awaiting a final resolution.

Performance and Operational Highlights

• During the year, our International Business demonstrated resilience, generating an export revenue of `15,695 million. The business contributed 5.4% to the Company's consolidated revenues for the year, achieving a y-o-y growth of 16.7% despite global trade volatility
• To mitigate the near-term tariff impacts in the U.S., we successfully reallocated resources and captured demand across alternative trade corridors. The majority of our revenue for the year came from geographies outside the U.S., with exceptionally strong performance in the Middle East and Latin America
• Our export operations consistently command a structurally higher profitability than the domestic market. Historically, our exports have been a margin accretive business for us, making this segment a vital contributor to our overall bottom line
• Despite the volatile global environment, all active geographies contributed meaningfully throughout the year, and we maintained a healthy order book, which is expected to translate into steady revenue in the next fiscal cycle

Strategic Initiatives for FY 2026-27

Scaling up the International Business forms the ‘R’ (Ramp-Up) pillar of our strategic five-year roadmap, Project Spring. Moving forward, our priorities include:

• Accelerating Export Contribution: We remain firmly committed to our Project Spring objective of having exports contribute greater than 10% to our overall revenues
• Leveraging Domestic Manufacturing: We will continue to leverage our low-cost manufacturing capabilities within India to drive export competitiveness, and we currently have no plans to set up manufacturing facilities overseas in the near- to mid-term
• Expanding Global Approvals: We are actively securing stringent global certifications, including Underwriters Laboratories (UL), British Approvals Service for Cables (BASEC), and IEC, to accelerate product approvals and expand our distribution network in major demand centres such as the USA and Australia