Apar Industries has strengthened its position across key power transmission and distribution segments, underpinned by a strategic shift towards premium, export-oriented products.
The perfect conductor
Apar enjoys a dominant presence in India’s conductor market, with its share pegged at around 30%. The company has deliberately focused on less-competitive, high-margin segments such as premium conductors and exports. Demand visibility for premium conductors remains robust, driven by a surge in reconductoring activity, rising requirements from high-voltage transformers, and a broader industry shift towards high-efficiency transmission solutions.
This strategic pivot is already reflecting in the product mix. Premium products accounted for 41% of conductor revenue in FY25, up sharply from 20% in FY18. As a result, EBITDA per tonne has increased fivefold over the past five years, highlighting improved profitability and operating leverage.
Wired to succeed
In cables, Apar has repositioned its portfolio to capture niche and export-led opportunities. The company now leads the renewables generation segment, with an estimated 70% share in wind cables and 25% in solar cables. It also holds the largest share in cable exports from India at roughly 11% in FY25.
Alongside exports, Apar continues to deepen its retail play. The company is investing steadily in distribution expansion and capacity augmentation to support growth across emerging segments.
Well-oiled machine
Apar’s transformer oil business remains another pillar of strength. Its products are approved for use across transformer categories in India and globally. The company is currently the largest manufacturer in India and the third largest worldwide. With inter-state transformer capacity expected to double, demand tailwinds for this segment appear favourable.
Outlook
Coverage is initiated with a BUY rating and a target price of ₹12,750, valuing the company at 35x FY28E earnings, supported by strong positioning across premium power infrastructure segments.
