Sierra Cables PLC has commenced the 2026/27 financial year on a strong growth trajectory, recording an exceptional performance during the first quarter while continuing to expand its export business,strengthen its position in the domestic cable industry and build a broader international presence. For the three months ended 30 June 2026, Group revenue rose 90% year-on-year to Rs. 5.6 billion. Gross profit increased 70% to Rs. 1.1 billion, profit from operations rose 100% to Rs. 930 million, setting a new milestone in the industry.
Growth Supported by Higher Volumes and Streamlined Operations
The strong performance was supported by production and sales volumes that approximately doubled compared with the corresponding period, together with stronger demand across domestic and export markets. Sierra Cables has continued to streamline and digitalise key business processes, improving operational visibility, coordination and efficiency as the business expands.
These improvements have strengthened the Company’s ability to manage higher volumes while maintaining its focus on quality, delivery performance and customer requirements. The transformation also supports a more scalable operating platform across manufacturing, supply chain, procurement, finance and sales.
Export Expansion and the Strength of the LOLC Group
Export expansion remains central to Sierra Cables’ growth strategy. The Company continues to strengthen its presence in existing overseas markets while pursuing new international opportunities,supported by internationally recognised manufacturing standards. Sierra Cables remains Sri Lanka’s only cable manufacturer certified to UL 44 and UL 854 standards, supporting its access to the highly regulated United States market.
Sierra Cables’ continued development is further strengthened by the support and extensive business ecosystem of the LOLC Group. The Group’s institutional capabilities, diversified business interests and extensive international presence provide Sierra Cables with a valuable platform as the Company moves into its next phase of expansion.
The extensive international footprint of the LOLC Group which has presence in 26 countries also provides valuable exposure to diverse markets and business environments, complementing Sierra Cables’ strategy of becoming an increasingly export-oriented and globally competitive manufacturing organisation.
The relationship provides Sierra Cables with a broader platform from which to explore international opportunities while maintaining the operational independence and industry expertise required to compete effectively within the cable manufacturing sector.
Expanding Sierra Cables’ Global Presence
The Company is progressively developing a broader global presence through its overseas business interests and manufacturing activities, creating opportunities to participate in different segments of the international infrastructure and manufacturing sectors.
This international footprint includes Cables PTE Limited FIJI, with interests in the fibre-optic cable sector, expanding the Company’s exposure to telecommunications and connectivity-related infrastructure.
Sierra Cables’ global presence also extends to Zambia through a pipe manufacturing operation, which is under construction at the moment providing further exposure to the African manufacturing and infrastructure market.
Together with Sierra Cables’ growing international cable exports, these businesses demonstrate the Company’s increasingly diversified international approach and its ambition to establish a stronger presence across global markets.
Combined with the international reach of the LOLC Group and Sierra Cables’ expanding export business, these operations provide a stronger platform to build cross-border relationships, pursue new opportunities and develop a more diversified global presence.
Innovation Focused on Consumer Safety and Quality
Alongside its international growth, Sierra Cables continues to strengthen its product portfolio with a focus on quality, safety and performance. Among its upcoming product is the SLS 733 Part 2 Fire Retardant Cable in a distinctive purple colour, developed for the domestic market.
Demonstrating its proactive approach to enhancing electrical safety and product innovation, Sierra Cables developed its distinctive purple Flame-Retardant Cable in response to the publication of the SLS 733 Part 2 standard for Flame-Retardant Cables. Moving swiftly with the introduction of this new safety-focused product, Sierra Cables showcased and launched the Flame-Retardant Cable at the INCO and Architect Exhibitions in 2024, giving the industry an early introduction to the enhanced level of fire safety it is designed to provide. This initiative reflects Sierra Cables’ continued commitment to staying ahead of evolving industry standards and bringing safer, higher-quality and internationally benchmarked cable solutions to the Sri Lankan market.
Positioned for the Next Phase of Growth, Aiming to Double the Export Capacity
Sierra Cables continues to reinforce its strong position in Sri Lanka’s cable industry, supported by its broad product portfolio, manufacturing capabilities, distribution reach and internationally recognised certifications. Its strong domestic base, combined with expanding exports, operational improvements and continued product development, provides a solid platform for sustainable growth.
The Group’s financial position also strengthened, with total equity reaching approximately Rs. 9.6 billion as at 30 June 2026, compared with Rs. 6.6 billion a year earlier. Net asset value per share increased to Rs. 17.88 from Rs. 12.34, while quarterly earnings per share rose to Rs. 1.31 from Rs. 0.78.
The Company’s financial standing has also been recognised by Fitch Ratings, with Sierra Cables maintaining its National Long-Term Rating of A+(lka) with a Stable Outlook since 2022. The sustained rating provides further recognition of the Company’s financial profile and established position within the domestic cable industry.
Building on the strong financial and operational momentum achieved during the first quarter, Sierra Cables enters the remainder of FY2026/27 from a position of strength, with a clear focus on accelerating its international growth. In preparation for the next phase of expansion, the Company has undertaken significant capacity expansion investments aimed at doubling its export volumes. The investment is expected to be completed within the next six months, with the enhanced capacity targeted to become commercially operational from 1 April 2027. This increased capacity is expected to significantly strengthen the Company’s ability to serve growing international demand, expand its presence across global markets and create further opportunities for growth in the next financial year. The expansion therefore represents an important milestone in Sierra Cables’ continued transition towards a more export-oriented and globally competitive business.
Moving forward, Sierra Cables remains focused on expanding its international presence, enhancing operational efficiency and continuously improving its product portfolio through greater emphasis on quality, safety, innovation and reliability. Leveraging its experience in manufacturing to internationally recognised standards, the Company aims to bring higher levels of international quality and safety to the Sri Lankan market, while strengthening its competitiveness across global markets.
With increased manufacturing capacity, an expanding export footprint, continued product innovation and a strong position in the domestic industry, Sierra Cables is well positioned to enter its next phase of sustainable growth and further establish itself as a globally competitive Sri Lankan cable manufacturer.
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