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Investor Presentation

Rathi Steel & Power Investor Presentation: Key Takeaways

Rathi Steel reports strong Q1 FY27 results with 24.6% revenue growth, driven by 30% volume expansion despite soft steel realisations. Strategy focuses on high-margin stainless steel and operational efficiency.

Guidance and delivery
Management target Revenue 20.0% next two years
Highlights
Revenue growth24.63% YoY growth in Q1 FY27.
MarginsEBITDA margin flat at 4.01%; PAT margin expanded 58 Bps.
Demand visibilityStrong, supported by government infrastructure spend and specialty steel demand.
Management confidenceHigh, citing optimized product mix and volume scalability.

Growth

Revenue grew 24.63% YoY to ₹193.67 Cr; PAT surged 84.56% YoY to ₹3.48 Cr.

Outlook

Targeting 20% revenue CAGR over the next two years; plans to increase SMS utilization to 80%.

Risks

Vulnerable to cyclicality, raw material price volatility, energy costs, and concentrated geographic presence in North India.

Last quarter's promises, checked

Delivered

  • Guided 20-25% avg growth → delivered 24.63% revenue growth (= BEAT)
  • Targeted TMT mill restart in FY26 → delivered operational ramp-up (= BEAT)
  • Guided 20 Cr capex for debottlenecking → delivered as replacement/efficiency capex (= BEAT)

Partly delivered

  • Targeted 65-70% Rolling Mill utilization → delivered 51.4% FY26 avg (= PARTIAL)
  • Targeted 80% SMS utilization → delivered 53% FY26 avg (= PARTIAL)
Source

Investor Presentation 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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Execution
12 months