KEI Industries Ltd - A consistent performer over the last decade

[sahil_vi]

Thanks for your indepth analysis going a step beyond everything which was already there. I find this information very very useful.

@Nroy

Per se, the domestic use of cable seem to be a limited growth driver for any cable manufacturer, and I think the non-retail and industrial market is the main contributor of the growth [my ancestral house did not undergo any meaningful electric wiring revamp in last 30 years]. Unlike a paint or an adhesive company, most likely, cables have more or less one time use in each household. Please correct me if this interpretation is wrong.

I think the key driver of growth is the housing and auto markets (their retail wires are used inside new homes and new cars constructed). What you’re referring to is the replacement market and as you rightly pointed out the replacement market is not big. But just the growth in first time home buyers and first time car buyers will be responsible for KEI retail segment growth.

I’m uncertain whether these wires can also be used inside consumer electronics such as geysers, irons, tv, refrigerator etc, I will try to dive deep and look into it.