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Earnings Call

Rathi Steel & Power Earnings Call: Key Takeaways

Strong FY26 performance with Revenue at ₹716cr (+41.7% YoY) and PAT at ₹12.87cr (+39.2%). Recommencement of TMT mill and focus on 'Green Steel' certifications drive operational momentum.

Why this was an Alfa AlertNot a filter event. Results and guidance are in line with historical momentum; no >50% YoY single-year guidance provided.
Highlights
Revenue growthFY26 +41.7% YoY to ₹716cr.
MarginsEBITDA margins expected to improve with higher capacity utilization.
Demand visibilityHealthy infra, railways, and urban development spending in India.
Management confidenceStrong due to rejuvenated dealer network and brand equity.

Growth

Q4 revenue rose 63.3% YoY to ₹244.57cr; FY26 EBITDA grew 18.8% to ₹28.9cr; PAT margin improved to 3%.

Outlook

Guidance of 20-25% average CAGR from FY25 base; focusing on 70-80% capacity utilization and direct charging technology.

Risks

Global steel volatility, elevated fuel costs due to Iran situation, and competitive pressure from cheap imports.

Last quarter's promises, checked

Delivered

  • Guided 20% CAGR growth → delivered 41.7% FY26 revenue growth (= BEAT)
  • Guided 75-80% capacity utilization → delivered 117% volume growth to 1,02,000 tons (= BEAT)
  • Guided TMT mill restart (April 2025) → delivered full operational status in FY26 (= BEAT)

Partly delivered

  • Guided EBITDA margin expansion with utilization → delivered 18.8% EBITDA growth but margin remains tight (= PARTIAL)
Source

Earnings Call filed with BSE, NSE: RATHIST. Summary written with AI assistance from the document.

Read the document ↗

Rathi Steel & Power Ltd: key numbers

Share price
₹21.81
Market cap
₹188.4 Cr
Revenue (annual)
₹716.0 Cr
Net profit (annual)
₹12.86 Cr
P/E (TTM)
13.0×Sector 19.0×
Promoter holding
41.30%+0.00% QoQ
FII holding
2.74%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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Rathi Steel & Power Management Change

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Execution
12 months