CMI Ltd Management Discussions

The global wires and cables market has shown strong growth and recovery since 2021. In 2023, the market size reached approximately USD 275.62 billion, driven by increasing demand in sectors like telecommunications, energy transmission, and data centers. The market is expected to continue expanding at a compound annual growth rate (CAGR) of about 3.5%, projected to reach USD 375.64 billion by 2032.

Key factors contributing to this growth include investments in smart grids, renewable energy, and the rise of data centers fueled by trends like the Internet of Things (IoT), big data, and cloud computing. Additionally, the Asia-Pacific region remains the largest market, with significant growth opportunities due to infrastructure development, while North America and Europe continue to invest heavily in upgrading their power transmission systems.

However, the market faces challenges such as fluctuating prices of raw materials like copper and aluminum, which can impact the value chain and production costs. Nonetheless, the increasing adoption of optical fiber and low-voltage cables in various sectors, along with advancements in technology, are expected to sustain long-term growth in this industry

INCREASING DEMAND FOR RENEWABLE POWER GENERATION TO AID MARKET GROWTH

The increasing global focus on renewable energy continues to drive significant growth in the wires and cables market in 2024-25. Governments worldwide have set ambitious targets to reduce dependence on fossil fuels, promoting investments in wind, solar, and other green energy technologies. These efforts are directly boosting demand for wires and cables, as they are crucial for power transmission and grid integration in renewable energy projects.

Key Updates for 2024- 25:

?‚? Expansion of Wind and Solar Power: The global capacity for renewable energy continues to expand. According to the International Renewable Energy Agency (IRENA), global renewable capacity rose by around 295 GW in 2025, surpassing previous records. Wind and solar farms are major contributors to this increase, requiring significant amounts of cables for power transmission and connectivity to national grids.

?‚? Offshore Wind and Floating Solar Projects: Offshore wind farms, in particular, are growing in importance, with new installations in Europe, Asia, and North America. Offshore wind turbines are connected through subsea power cables buried on the seafloor, transmitting energy to the mainland. Subsea cables are also essential for floating solar PV systems, which are gaining traction as an innovative solution to land scarcity.

?‚? Grid Modernization: To accommodate the growing share of renewable energy, many countries are upgrading their grid infrastructure, leading to increased investment in high-voltage and medium-voltage cables. Projects aimed at grid interconnection and the expansion of smart grids are further bolstering demand.

These developments in renewable power generation and infrastructure improvements are key drivers of the wires and cables market growth, supporting its forecast expansion in the coming years.

INDIAN ECONOMY

The Indian wires and cables market experienced robust growth during 2024-25, driven by a combination of factors such as government infrastructure investments, urbanization, and the rising demand for digital connectivity.

Key Growth Drivers for 2024- 25:

?‚? Infrastructure Development:

Government initiatives, particularly the "Make in India" program and investments in smart city projects, are key drivers. These initiatives are promoting the expansion of housing and commercial developments, leading to increased demand for wiring systems across the country

Significant investments in metro railway projects, transmission and distribution (T&D) networks, and highways are also contributing to the market s expansion. The ongoing modernization and expansion of power grids will require substantial cable infrastructure

?‚? Telecommunications Sector:

Indias booming telecom sector continues to fuel demand for cables, particularly due to the rise in internet penetration and increasing mobile data consumption. This demand is accelerated by the rollout of 4G and 5G networks and the installation of telecom towers in rural and urban areas. The surge in the number of internet users, alongside the governments push for digital inclusion and rural connectivity, is spurring the use of fiber optic cables.

?‚? Renewable Energy and Power Transmission:

With a strong focus on renewable energy, especially solar and wind power, the need for specialized cables for energy transmission from these sources is increasing. Projects related to solar parks, wind farms, and decentralized renewable energy systems are driving demand for both power and specialty cables. The ongoing revamp of Indias T&D infrastructure, aimed at reducing power losses and improving efficiency, is leading to higher demand for upgraded, high-quality cables

Market Outlook:

The Indian wires and cables market is forecasted to grow at a CAGR of 4.63% between 2022 and 2027, with an estimated market value increase of USD 2,189.92 million.

Overall, the combination of government policies, industry expansion, and the increasing need for digital and energy infrastructure will continue to support the strong growth trajectory of the Indian wires and cables market.

India Electric Wire and Cable Market Dynamics

?‚? Smart Grid Development: Investment in smart grids and advanced metering infrastructure is a notable trend, as it requires sophisticated cabling systems for reliable and efficient energy distribution.

?‚? Adoption of Advanced Cables: There is an increasing shift toward optical fiber and low- voltage specialty cables to support energy-efficient infrastructure in commercial and residential sectors. This trend aligns with the global demand for efficient and environmentally sustainable energy solution.

?‚? Make in India Initiative: The growth of domestic manufacturing under the "Make in India" initiative is encouraging production within India, reducing import dependency and fostering the development of local manufacturing capabilities for wires and cables.

Driver - Growth in renewable power generation in India

One of the main factors that is significantly contributing to the growth of the electric wire and cable market in India is the substantial growth of renewable power generation in the region. As a result, there is an increase in demand for efficient, durable, and technologically advanced wiring solutions across the region.

Moreover, there is an increased requirement for reliable interconnections and transmission systems. fuelled by the expansion of solar and wind energy installations across the nation. As a result, the demand for electric wires and cables has surged as they are an essential component of these energy networks, enabling the seamless transfer of generated electricity to distribution grids and end consumers. Hence, such factors are expected to drive India electric wire and cable market growth during the forecast period.

Trends - Increase in sales of HVDC power cables

There is increasing adoption of High-voltage direct current (HVDC) underground power cables as they are considered the best option for long-distance and high-voltage safe power transfer. The main advantage of HVDC power systems is that they offer a reliable option for long- distance bulk power delivery.

Moreover, several energy products are announced by the European Commission for the construction of cross-border infrastructure to create an internal energy market and enhance the security of the energy supply. As a result, it will fuel the demand for high-voltage direct current (HVDC) underground power cables for the transfer of high loads of electricity across the country. Hence, such factors are positively impacting the market which in turn will drive the India electric wire and cable market growth during the forecast period.

Challenge - Volatility in raw material prices of electric wire and cable

The electric wire and cable market in India highly depends on materials such as copper and aluminum for the efficient conduction of electricity. the price of these raw materials is influenced by several factors such as supply-demand imbalances, geopolitical tensions, and economic conditions.

Moreover, such factors are fluctuating the prices of these raw materials which in turn is impacting the cost structure of cable production, resulting in pricing inconsistencies, and profitability concerns. As a result, several manufacturers find it challenging to maintain stable pricing for their products, creating hindrances in forecasting and budgeting. Hence, such factors are expected to hinder the India electric wire and cable market growth during the forecast period.

India Electric Wire and Cable Market Segmentation by End-user and Type End-User Segment Analysis

?‚? Railway Sector:

?‚? The railway segment continues to witness significant growth in 2024-25, driven by large-scale electrification projects. India has one of the largest railway networks globally, and the governments focus on modernization and expansion of this network is a key contributor to this segments expansion. As of 2025, approximately 85% of Indian railway routes are targeted for electrification by 2030, driving demand for electric wires and cables, particularly for power transmission.

?‚? Additionally, Indias focus on green energy solutions within the railway sector, such as installing solar panels on station rooftops and trains, is further boosting the demand for specialized electric cables

?‚? Power Sector:

?‚? The power sector remains another major contributor to the growth of the electric wire and cable market. The government s ongoing T&D infrastructure upgrades and efforts to reduce technical and commercial losses are boosting demand for high-voltage cables. Investments in renewable energy, particularly solar and wind power, are also creating a need for new transmission networks, further driving demand for wires and cables

?‚? Telecommunications Sector:

?‚? With the rapid deployment of 5G networks, the telecom sector continues to expand. Fiber optic cables are in high demand as telecom operators focus on improving internet connectivity, especially in rural areas. The Production-Linked Incentive (PLI) scheme for telecom equipment manufacturing is expected to provide further impetus to fiber optic cable demand

?‚? Construction Sector:

?‚? Urbanization and real estate development are contributing to steady demand for electric cables, particularly in residential and commercial building projects. Increased construction activity across major cities, coupled with the growth of smart city initiatives, is supporting the use of low-voltage and specialty cables for building automation and energy-efficient wiring systems

Type Segment Analysis

?‚? Power Cable:

?‚? Power cables, including low-tension (LT) and high-tension (HT) cables, are witnessing growth due to rising demand from the power sector. LT cables are

typically used for household and commercial applications, while HT cables are more prominent in power transmission and industrial applications

?‚? Specialty Cable:

?‚? Specialty cables are becoming more important in sectors such as railways, telecommunications, and renewable energy. These cables are designed to withstand harsh environments, including underground and underwater applications. The demand for subsea cables for offshore wind energy transmission and fiber optic cables in telecoms is steadily increasing

Market Drivers (2024- 25)

?‚? Government Investments in Infrastructure: Large-scale investment in power infrastructure, railways, and metro projects continues to be a primary driver of demand for wires and cables.

?‚? Rising Digitalization: Increased penetration of 5G, smart grids, and the proliferation of IoT devices are boosting demand for advanced cabling solutions.

?‚? Renewable Energy Expansion: The shift towards renewable energy sources, including solar, wind, and hydropower, is fueling demand for specialized cables, especially for energy transmission.

Challenges (2024- 25)

?‚? Raw Material Price Volatility: The rising cost of copper, aluminum, and other raw materials is a challenge for manufacturers, affecting profit margins and supply chain stability.

?‚? Regulatory Hurdles: The increasing emphasis on environmental regulations and adherence to safety standards presents challenges, particularly for manufacturers working on large infrastructure projects.

Overall, the India electric wire and cable market is on a solid growth trajectory in 2024-25, supported by infrastructure expansion, digitalization, and the shift towards renewable energy. However, challenges related to raw material costs and regulatory compliance may temper growth.

OPPORTUNITIES IN THE INDIAN WIRE AND CABLE MARKET (2024-25 AND FUTURE OUTLOOK)

The Indian wire and cable market continues to exhibit strong growth potential, driven by factors such as rapid urbanization , infrastructure development , and the expansion of the power and telecommunications sectors . Below are key opportunities that are expected to shape the future of this industry:

?‚? GOVERNMENT INITIATIVES AND INFRASTRUCTURE DEVELOPMENT

?‚? The Indian governments ongoing focus on large-scale infrastructure projects like smart cities, metro rail expansions, and power distribution networks creates significant opportunities for the wire and cable market. The development of highways, bridges, and residential projects will fuel the demand for cables in both urban and rural areas.

?‚? The Make in India initiative, which promotes domestic manufacturing, has also increased investment in production facilities, further boosting the demand for wires and cables used in various industries such as construction, housing, and industrial applications.

?‚? EXPANSION IN RENEWABLE ENERGY

?‚? Renewable energy is a key driver of future demand for specialized cables. The Indian government aims to achieve ambitious renewable energy targets by 2030, with a focus on solar power and wind energy. This expansion requires extensive deployment of specialized cables, such as high-tension (HT) cables for power transmission, and subsea cables for offshore wind farms

?‚? Increased use of solar panels in both public and private sectors will require wires and cables for installations in residential rooftops, solar parks, and commercial facilities.

?‚? ELECTRIFICATION OF RAILWAYS AND TRANSPORTATION

?‚? The Indian railway sector is undergoing massive electrification and modernization efforts. The government s plan to achieve 100% electrification of railways by 2030 will drive demand for power and specialty cables for rail tracks, signaling, and operational systems

?‚? The growth of metro rail projects across major cities and the development of electric vehicle (EV) infrastructure will also boost the need for charging stations and high- capacity electric cables, presenting a significant growth opportunity in the transportation sector

?‚? TELECOMMUNICATIONS AND DIGITAL INFRASTRUCTURE

?‚? With the rapid rollout of 5G networks and increasing internet penetration, particularly in rural areas, the demand for fiber optic cables is expected to surge. The governments Digital India initiative further emphasizes the need for robust and reliable telecommunications infrastructure, providing a major boost to the wire and cable industry

?‚? SMART GRIDS AND UNDERGROUND CABLING

?‚? Investment in smart grid technology is on the rise, creating a demand for advanced, environmentally-friendly cabling solutions that can support grid interconnections and underground networks. Smart grids require efficient transmission and distribution of electricity, and the need to move overhead transmission lines underground in major cities is another growth area for cable manufacturers

?‚? Additionally, underground cabling solutions are being prioritized in high-density urban areas to minimize disruptions and enhance safety, further boosting demand for low- voltage and high-voltage power cables

?‚? GROWTH IN THE AUTOMOTIVE AND INDUSTRIAL SECTORS

?‚? The rise of electric vehicles (EVs) and increasing investments in EV infrastructure (such as charging stations) will present opportunities for manufacturers of specialty cables that cater to EVs and automotive applications. The need for advanced materials and wiring systems in self-driven and connected vehicles is also expected to spur demand

?‚? In the industrial sector, modernization and automation, particularly in manufacturing, oil and gas, and defense, will continue to drive the need for reliable and high- performance cables

FUTURE GROWTH DRIVERS (2024-25 AND BEYOND)

?‚? Power Generation and Transmission: With an increasing focus on sustainable energy, the transition to renewable power generation and the expansion of Indias transmission and distribution networks will significantly drive demand for high-quality cables

?‚? Technological Advancements: Emerging technologies such as IoT, automation, and smart homes will require advanced cabling solutions for seamless connectivity and efficient energy usage.

?‚? Government Policies and Support: The central government s emphasis on self-reliance and the promotion of domestic manufacturing under various initiatives, such as the Production-Linked Incentive (PLI) scheme, will further bolster the wire and cable market.

In summary, the Indian wire and cable market is positioned for robust growth, backed by strong government support, increasing demand from various industries, and a shift towards renewable energy and smart infrastructure . Manufacturers are expected to benefit from this expanding landscape, especially those that can adapt to new technological trends and the rising demand for sustainable, high-performance cabling solutions.

Increasing Demand for Renewable Power Generation is a Vital Trend

Increasing awareness about the potential of renewable power has led to the significant adoption of renewable energy. In addition to this, supportive government initiatives for the development of renewable power are also a prominent factor responsible for the growth of renewable power generation, which, in turn, would further drive the demand for wires and cables. According to EIA s International report, 28% of the global power came from renewable energy in 2018, with the majority contributions from wind, solar, and hydropower. The EIA

forecasts that renewables will account for almost half - 49% - of the global electricity output by 2050.

Growing Demand from Data Centers and IT Facilities is a Current Trend

The demand for wires and cables in the data center and IT sectors continues to grow rapidly in 2024-25 due to the increasing number of hyperscale data centers and advancements in cooling technologies like liquid cooling . These facilities require vast amounts of copper and fiber optic cables to support high-speed data transmission and ensure network reliability. The global surge in data traffic , driven by cloud computing , AI , and 5G adoption , has further escalated this need. With regions like Asia-Pacific experiencing rapid growth in data consumption, the market for specialized cabling infrastructure is poised for strong growth

Demand for Cables in Railways

The demand for cables in the railway sector continues to rise in 2024-25 as the industry expands to meet the growing global transportation needs. Railways require high-performance cables for a variety of applications, including data transmission, control tasks, and electrification of tracks. With increasing investments in railway electrification, modernization of networks, and smart technologies for improved signaling and communication, the demand for specialized cables in the sector is set to accelerate. The focus on renewable energy and sustainability is also driving the need for efficient, environmentally friendly cables for power distribution and train operations.

5G Infrastructure will Create the Demand for Cables

The 5G revolution promises astonishing gigabit-per-second data rates and near-instantaneous connectivity. It is projected to have a mass impact across many industries and change the lives of billions of both consumers and suppliers worldwide. When telecom carriers need to connect a microwave antenna to the indoor unit, they have one of three cable options to choose from: these include coaxial cable, a fiber-optic cable or a twisted-pair high frequency cable, all of which come with benefits and drawbacks.

Twisted high frequency cables have seen a rise in popularity in line with the rollout of 5G trials. The benefit of using twisted high frequency cables to connect the microwave antenna to the indoor unit is that you can combine both the data and power in one cable. This means that, for the carriers, there is a big cost and materials saving - you effectively cut the cost by half as you

only require the installation of one cable, whereas with other cable types, you will need separate power and data cables. Connecting the increased number of antennas for 5G with fiber-optic cables could be extremely expensive. Therefore, high frequency cables have seen an increase in popularity over the past few years, and we predict that this will only increase as they are not just cost-efficient but also much easier to install than other cable types. Twisted high frequency cables are much more robust, resistant to the environment and they can be easily terminated on site by the installer.

Fiber-optic cables, on the other hand, are more sensitive to conditions such as humidity and dust levels. Most of the time the fiber-optic cable is pre-terminated, meaning that the installer just has to plug in both ends. However, the fiber-optic cable only carries data. Power must be provided by a separate cable, which generally has to be cut to length, stripped and terminated.

However, twisted high frequency cables are not the answer for every installation. Their performance tends to drop off over long distances. This means that the carrier will be obliged to use another type of cable if the antenna is too far from the indoor unit or the antenna will need to be placed in a closer, possibly less convenient, position. To help mobile carriers tackle the many challenges of 5G, companies like Nexans have developed a 5G ultra-dense infrastructure network with innovative fiber-optic cables and components and a new high frequency twisted pair especially designed for the needs of new microwave networks.

Industry Challenges

The wire and cable industry has vast potential in growth in coming years but it has some challenges also, the increasing price rise and competition from Chinese imports. The wire and

cable industry is experiencing volatility in raw material prices, as the price of copper continues to increase, profit margins are squeezed and they become uncompetitive in the international market. County is experiencing an all time high price of fuel it s direct impact on domestic transportation, in result wire and cable transportation has increased. Also, a large section of the industry is still unorganised; there is a lack of quality product offerings from these players due to non-compliance with the product guidelines.

CYCLICAL

The Cable & Wire industry is projected to experience a cyclical recovery in 2024-25 following a significant decline during the COVID-19 pandemic. Volumes for domestic cable and wire production fell by more than 15% in FY23 and FY25, largely due to disruptions caused by the pandemic. However, the industry is now expected to see strong double-digit growth over the next 2-3 years, followed by a high single-digit growth rate in the medium term. This recovery is supported by a variety of factors, including increased demand for infrastructure projects, growth in renewable energy investments, and modernization of power transmission and distribution networks.

THREATS

Manufacturing activities are generally considered essential as they drive the industrialization of underdeveloped economies globally, and therefore, they have been mostly exempted from the lockdown measures. As a result, the demand for wires and cables has remained stable in this sector. Emerging economies such as China and India are the major countries for establishing new power plants, increasing focus on building smart infrastructure, and introducing advanced communication facilities, thereby stoking the uptake of wires and cables.

KEY PRODUCT SEGMENTS

The Company is one of the leading manufacturers of wires and cables, serving clients in India and abroad in various sectors, with all the latest certifications (ISO 9001, ISO 14001, BS ISO 45001). The broad segmentation of the products manufactured by the Company are as follows:

Types of Cables	Application
Quad Cables	Specialized safety cables used by Railways for counting incoming & outgoing axles / coaches at any particular section to ensure no coach is left behind.
Railway Signalling Cables	Used for transmitting signals to signal posts for smooth movement of trains.

Fire Survival Cables	Used to maintain circuit integrity in case of fire for 3 hours up to 950o C, to ensure transmission of signals to safety equipment.
Fire Retardant Low Smoke Zero Halogen (LSZH) Cables	Ensures better visibility and low toxicity in case of fire.
Highly Flexible Multi-core Copper Shielded Abrasion Resistant Thermoplastic Polyurethanes (TPU) Sheathed Cables	Used for gas insulated substations.
EHV/MV/HV/LV Power Cables	Used for supplying power.
LV Control Cables	Used for special purposes in various sectors.
Polythene Insulated Jelly Filled (PIJF) Telecom	Used for last mile connectivity.
Fire Alarm & Communication Cables	Used for fire detection & alert equipment.
Ethylene Propylene Rubber (EPR)-Chloro- Sulfonated Polyethylene (CSP)-Polychloroprene (PCP)-Silicon Cables	Used at high temperature in mines, steel, ship building & wind energy generation industry.
Flexible and Building Wires	Building Wire cables-for building wiring on wall surface in conduit.
Industrial wiring cables-for wiring of panel & other electrical equipments including UPS cabling.	Building Wire cables-for building wiring on wall surface in conduit.
Low voltage Cables and Instrumentation and Control cables	Used for power transmission, Single Transmission
Aerial Bunch Cables	Used for power transmission and distribution
High Voltage Cables	Used for power transmission
Extra High Voltage Cables	Used for power transmission
Overhead Conductors	Used for power transmission and distribution

SECTOR THAT WE SERVE OUR GROWTH PARTNERS

INDIAN RAILWAYS

The railway sector played a critical role in addressing supply chain challenges during the lockdown when other modes of transport came to a halt. While several projects continue to face challenges due to difficulties in labour mobilisation and procurement of specialised equipment, work on IR s mega infrastructure projects such as 100 per cent electrification are continuing as per schedule. Going forward, IR is expected to increase its focus on the freight segment to make up for the losses incurred due to suspension of passenger trains. In addition, the sector is also looking to tap new sources of funding including private investment for faster infrastructure development.

The National Infrastructure Pipeline envisages a planned capital investment of over Rs. 13 trillion for the railways sector by 2024-25. IR has a target to complete over 17,000 km of new line, doubling and gauge conversion works by 2024-25.

Indian Railway network is growing at a healthy rate. In the next five years, Indian railway market will be the third largest, accounting for 10% of the global market. The government has announced two key initiatives for seeking private investments-running passenger trains by private operators across the railways network and redevelopment of railway stations across the country. According to Indian Railways, these projects have the potential of bringing an investment of over US$ 7.5 billion in the next five years.

The Indian Railway launched the National Rail Plan, Vision 2024, to accelerate implementation of critical projects, such as multitrack congested routes, achieve 100% electrification, upgrade the speed to 160 kmph on Delhi-Howrah and Delhi-Mumbai routes, upgrade the speed to 130 kmph on all other golden quadrilateral-golden diagonal (GQ /GD) routes and eliminate all level crossings on the GQ /GD route, by 2027.

METRO TRAIN

Growing Indian Metro Railway Sector

The Indian Metro Rail system has traveled from 35 Km (including 27 Km of Kolkata Metro) in 2002 to 638.91 km in last 17 years and currently has 13 operational metro systems in 18 cities.

This already decent sized metro system is expanding rather ambitiously. It was estimated that by 2026 approximately 600 km of metro lines shall be made operational through expansion of existing systems and completion of 5 under- construction metro systems in Navi Mumbai, Pune, Kanpur, Bhopal and Indore city. A further 1050 Km are expected to be added over a 5 year period starting 2024, making a total of 1650 Km of additional network in next 10 years. There are 7 more cites of India- Agra, Patna, Surat, Meerut, Visakhapatna, Varanasi and Dehradun (Doon Valley) which have metro projects in planning stage and 10 cities: Gwalior, Guwahati, Srinagar, Coimbatore, Ludhiana, Prayagraj, Ranchi, Jabalpur, Bareilly, Gorakhpur where metro projects have been proposed.

After a very long gap between India s first Calcutta (Kolkata) Metro project in 1984 which was undertaken by the Indian Railways, Delhi Metro Rail Corporation Ltd. (DMRC) had inaugurated the first section of its metro rail project in 2002. Looking at the immense success of Delhi Metro, new systems were developed in Bangalore, Mumbai, Lucknow and other cities in order to ease the heavily loaded urban transportation infrastructure.

10 years from now India is expected to have 32+ operational metro rail systems. This mass transit system is proving to be an effective solution for urban transportation, supporting the growth of rapidly growing cities. This immense growth is directly impacting the demand for modern metro coaches and emergence of a thriving Metro Rail Coach Industry in India.

POWER TRANSMISSION AND DISTRIBUTION SECTOR

India has set ambitious targets for the power sector and aiming for 24X7 powers for all, with 450 GW of renewable capacity by 2030. Many of the government s major initiatives, such as Make In India or Aatma nirbhar Bharat, require access to reasonably priced, high quality power to take off.

However, the distribution sector has been the Achilles heel of the power sector, consistently making large losses, reflecting weaknesses in operations, infrastructure, and regulation. The country will not be able to achieve a high-growth, low- carbon economy unless the distribution sector achieves profitability. The solution to this problem will include smart meters and smart grids, but the most important solutions might lie in institutional smartness - whether in power procurement, in ensuring high-quality regulation, or in encouraging private participation in distribution.

DISCOM RESTRUCTURING

The distribution sector has been largely vertically unbundled - the three different functions of generation, transmission, and distribution have now been separated. While there might be de jure unbundling, the degree of de facto unbundling might vary. In states such as Gujarat, the unbundling was an important step towards improving the performance of discoms. Most discoms are state- owned, and only about 10 percent of India s population is served by private distribution licensees. Higher private participation in distribution holds out the possibility of greater efficiency.

With the outbreak of Covid-19 and the ensuing economic slowdown, the cable and conductor segment has undoubtedly witnessed a corresponding demand slowdown. At the same time, domestic manufacturing has suffered owing to supply chain disruptions. However, there is expected to be robust demand for cables and conductors in the medium to long term, primarily on the back of the expanding T&D network and infrastructure.

It is worth noting that the government has announced a $1.4 trillion National Infrastructure Pipeline for the infrastructure sector over a five-year period, aligned with the vision to make India a $5 trillion economy by 2024- 25. Infrastructure spending by the government will boost demand for cables and wires.

RENEWABLE ENERGY SECTOR

As of 2024-25, India continues to be a major player in the global renewable energy sector , positioning itself as the fourth most attractive renewable energy market globally. India is ranked 5th in wind power and 5th in solar power , with significant strides in renewable capacity. The installed renewable power generation capacity has grown at a CAGR of 17.33%

between FY16-20, and the government has set ambitious targets to meet energy demands by expanding its renewable energy capacity to 523 GW by 2030 , with a major portion coming from solar and wind.

Indias renewable energy sector, with its potential for 363 GW in the northern regions, is supported by favorable policies and is expected to contribute significantly to Indias energy mix. By 2030, renewable energy is expected to account for 55% of the total installed power capacity, with solar contributing 280 GW and wind power 67 GW . Notably, renewables will generate 49% of India s electricity by 2040, with significant cost reductions expected in solar energy.

The expansion of green cities powered by renewable energy and large-scale projects, including Compressed Biogas plants , are further catalyzing sector growth. With the governments commitment to clean energy and substantial investments anticipated in the sector, India is well on its way to meeting these ambitious targets and creating numerous employment opportunities, particularly in rural areas.

TELECOMMUNICATION SECTOR

As of 2024-25, the telecommunication sector remains a significant driver for the cables, cable assemblies, and connectors market, as these components are essential for transmitting electromagnetic, electric, and light signals across various telecom systems. Telecom cables are used across enterprise network equipment , subscriber equipment , wireline network equipment , and multiservice operator equipment , creating substantial opportunities for manufacturers to design both standardized and customized solutions to meet industry needs.

The telecom cable market is projected to see growth from 2022, with expectations of reaching

$57.2 billion by 2027 , driven by the increasing demand for internet connectivity , expanding subscriber bases , and greater investment in telecom infrastructure . The market is forecast to grow at a CAGR of 4-6% between 2020-2025.

Within the telecom cable market, the telecommunication sector will remain the largest application segment, driven by the rising deployment of fiber optic cables for long-range communication and the ongoing digital transformation in telecom. Moreover, CATV (Cable Television) is anticipated to experience the highest growth, fueled by the increasing demand for high-definition video content and the expansion of smart devices .

Asia Pacific is set to continue as the largest region, experiencing the highest growth due to the demand for cloud-based technologies offering high connectivity speeds and increased investment in IT infrastructure .

ELECTRIC CARS

As of 2025, the electric vehicle (EV) market continues to thrive, particularly in the context of EV charging infrastructure and charging cables . The disruptions caused by COVID-19 led to temporary production halts, affecting manufacturing, especially in Tier II and III suppliers. Despite these challenges, the EV market showed resilience, with EV sales increasing significantly during the pandemic, driven by growing consumer awareness and government incentives promoting low-emission vehicles.

This growth has led to a rising demand for EV charging cables worldwide. Leading EV markets such as China , the US , and Germany are making substantial investments in EV infrastructure , including the installation of fast-charging stations . These efforts have prompted cable manufacturers to develop advanced technologies to support high-speed DC charging , which typically operates at 400 V to 480 V for rapid charging up to 50kW .

The increasing adoption of EVs is further accelerating the need for charging infrastructure , with significant investments by automakers in research and development of faster and more efficient charging solutions . As the demand for high-speed charging stations rises, advancements in EV charging cables are becoming key to supporting the growing number of EVs and enabling sustainable mobility .

This trend is expected to continue as governments push for further electrification of transportation and as technology in EV charging cables evolves to meet these demands.

FUTURE OUTLOOK & FRESH AVENUES

The existence of the following extremely strong demand drivers will ensure healthy growth for the sector over the next few years.

?‚? Investment in the Power Sector

?‚? Increasing focus on defence and aviation infrastructure.

?‚? Expansions in refinery and petrochemical project

?‚? Housing & Construction Boom

?‚? Boom in Railway sector, augmentation in capacities of Railway programs and Urban Transport/Rapid & Metros.

?‚? Enlarging the scope & adoption of the Smart City concept

?‚? Opening of fresh avenues in the export front

?‚? State Electricity Boards.

One of the Company s greatest strengths is the ability to customize products as per clients requirements. The cable industry is expected to develop into a market to favour such players.

Thus CMI possesses the first-mover advantage as they have already customized products successfully for clients.

Shelter of multiple product ranges is a special risk-mitigating feature protecting the company against any cyclicality or downturn of any one industry/ sector at any given point in time.

Approvals available with the company ensure an order book in the range of 300 - 500 crores at any given point of time and we still have adequate market credibility of execution. One of the Company s greatest strengths is its ability to customize products as per the client s requirements. The cable industry is expected to grow into a market to favour such players. Thus CMI possesses the first-mover advantage as they have already customized products successfully for clients such as the Indian Railways, Delhi Metro Rail Corp., ISRO, BHEL, NTPC, Ircon International Ltd., L&T, IOCL, EIL, Alstom T&D India Ltd., Vishakhapatnam Steel Plant, Numaligarh Refinery Limited, IOT Infrastructure& Energy Services Ltd., Satish Dhawan Space Research Centre, Siemens Information Processing Services Pvt. Ltd. Etc.

We have already established a presence in overseas markets and exports are executed to the clients spread in various countries such as Bhutan, Bangladesh, Dubai, Egypt, Germany, Kuwait, Malawi, Mauritius, Malaysia, Myanmar, Nepal, Nigeria, Qatar, Rwanda, Switzerland, Senegal, Singapore, Sharjah, Sri Lanka, United Kingdom, Uganda, Zambia, etc. There are a lot of scopes to spread geographically in the overseas trade. Our exploration has opened fresh avenues of contract manufacturing in the export market and an aggressive approach in this front may expand the clientele base extensively. The reason for increased focus on Exports is also based on the lucrative business model of advance payments and the shorter cycle of credit realization. Settling of deadly COVID waves has augmented space for restoration of the lost business with growth-oriented policies finding place worldwide for a well-shaped business environment insight.

PERFORMANCE OF THE COMPANY FINANCIAL PERFORMANCE

?‚? The company has closed at total revenue of Rs. 5746.22 Lakhs during FY ended March 31, 2025 as compared to Rs. 2908.04 Lakhs during the previous FY ended March 31, 2024.

?‚? Business loss (before tax) of Rs. 1,103.15 Lakhs is posted for FY ended March 31, 2025 as against loss(before tax) of Rs. 1,005.57 Lakhs for FY ended March 31, 2024.

?‚? Net loss of Rs. 1,103.57 Lakhs is posted for FY ended March 31, 2025 as against net loss (after tax) of Rs. 832.57 Lakhs for FY ended March 31, 2024.

?‚? EPS of the company stood at (Rs. 6.88) as at March 31, 2025 as compared to (Rs. 5.19) as at March 31, 2024.

FINANCIAL HIGHLIGHTS

(in Crores)

Particulars	2024- 25	2023- 24	2022- 23	2021- 22
Revenue from Operations	57.46	29.08	22.03	67.75
PBT	-11.03	-10.05	-117.45	-181.42
EPS (Rs.)	- 6.88	- 5.19	-68.69	-89.16
PAT	-11.03	- 8.32	-110.09	-142.90
Net worth	-52.06	-142.79	-134.47	-24.37

OPERATIONAL PERFORMANCE

CMI Limited is undergoing Corporate Insolvency Resolution Process (CIRP) as per the order dated July 28, 2023, pronounced on August 01, 2023, by the Hon ble National Company Law Tribunal (NCLT) in Delhi. The application for the insolvency proceedings was filed by Canara Bank, identified as the Financial Creditor, under Section 7 of the Insolvency and Bankruptcy Code, 2016.

The Hon ble National Company Law Tribunal (NCLT) has taken the necessary steps by approving the appointment of Mr. Deepak Maini as the Interim Resolution Professional (IRP) and subsequently confirmed as Resolution Professional by the Committee of Creditors responsible for conducting the CIRP of CMI Limited under section 16 of the Insolvency and Bankruptcy Code 2016.

During the CIRP, the RP endeavours in managing the affairs of the company and try to run the company as going concern.

PROFITABILITY

Low sales performance and ongoing CIRP led to inadequate profitability to meet the fixed and variable cost of the company ending up with genuine business loss of Rs. 1,103.15 Lakhs in FY 2024-25. Underutilisation of capacities and operational inefficiencies resulting in operational deficits at Baddi plant remained a cause of concern for achieving the required profitability as the baddi unit was non-operational during the financial year.

Financial position has taken fresh load under exceptional items comprising of net profit or loss on sale of fixed assets, claims and liquidated damages, provision for doubtful debts, provision for decrease in value of inventory and disputed items now accounted. Total loss has thus increased to Rs. 1,103.15 Lakhs which is significantly disproportionate to previous years due to the abnormalities occurred in FY 2024-25 as explained above.

KEY FINANCIAL RATIOS

In accordance with the SEBI (Listing and Disclosure Requirements) (Amendment) Regulations, 2018, the Company is required to provide details of significant change (changes of 25% or more as compare to immediately preceding financial Year) in key sector specific ratios. The Company has identified following ratios as key financial ratios:

Particulars	31.03.2025	31.03.2024	Change (%)	Reason of Change
Operating Profit/ Net Sales (%)	-18.99	-33.80	-43.80	Due to higher operating losses
Net Profit/Net Sales (%)	-18.99	-27.98	-32.12	Due to higher net losses
Return on Net Worth (%)	7.83	6.34	23.38	Due to higher net losses
Interest Coverage Ratio (Times)	-11.79	-11.25	4.86	Due to higher operating losses
Debt / Equity Ratio	- 0.02	- 0.06	-67.88	Due to reduction in long term debt
Current Ratio	0.22	0.23	- 7.29	Due to lower current assets
Inventory Turnover Ratio (Months)	2.20	4.08	-46.09	Due to higher revenues from operations
Inventory Turnover Ratio (x)	5.46	2.94	85.49	Due to higher revenues from operations
Debtors Turnover Ratio (Months)	11.36	21.61	-47.43	Due to higher revenues from operations
Debtors Turnover Ratio (x)	105.60	56.00	88.57	Due to higher revenues from operations
Net profit margin (%)	-18.99	-27.98	-32.12	Due to higher net losses

HUMAN RESOURCES

The Company s HR policies are developed proactively with the goal of producing a professional, skilled, and talented workforce. Employee-friendly policies emphasize recruiting and staffing; remuneration and benefits; training and skill development; and keeping personnel through suitable incentives. To boost employee morale and ensure high work productivity, the Company strives to build and maintain a safe, conducive, and engaging work environment. It has also developed a well-designed appraisal system to connect individual efforts with the Company s

long-term strategy and growth objectives. The Company constantly performs several upgradation and development programs to improve its personnel s technical and management skill sets. This comprises, among other things, technical training programs in 360-degree machine guarding, cable production and design, machine SOPs, and material handling. Leadership/ team building, communication and negotiation, conflict management, and stress management are examples of behavioral training. It also provides a platform for employees of all levels to communicate and exchange information and ideas, helping to improve the Company s overall workforce competencies.

New Delhi

Date: 27.11.2025

Powers of the board are suspended from the Insolvency Commencement Date Taken on record by

Deepak Maini Resolution Professional

CMI Limited (Reg. No. IBBI/IPA-001/IP-P00676/2017-2018/11149)