Rain Industries (RAIN) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached ₹45.21 billion, up 20% year-over-year, with adjusted EBITDA at ₹7.15 billion, a 65% increase, reflecting strong Carbon and Advanced Materials performance and operational discipline.

• Adjusted net profit after tax was ₹1.25 billion, and adjusted EPS stood at ₹3.70; consolidated net profit was ₹1,578.64 million, reversing a prior year loss.

• Achieved best-in-class safety performance with a TRIR of 0.14, and expanded OSHA reporting to all segments.

• Capital expenditure totaled US $10 million, with liquidity at US $362 million and no major term debt maturities until October 2028.

• Board approved unaudited financial results for Q1 2026, with unqualified auditor review.

Financial highlights

• Consolidated revenue for Q1 2026 was ₹45,207.30 million, up from ₹37,680.16 million in Q1 2025; adjusted EBITDA was ₹7.15 billion, with a margin of 15.8%.

• Adjusted net profit after tax was ₹1.25 billion, compared to a loss of ₹978 million in Q1 2025; consolidated net profit was ₹1,578.64 million.

• Net debt stood at US $825 million, with a net debt to EBITDA ratio of 2.85x, reflecting improved leverage.

• Operating cash flows were INR 5.27 billion, driven by higher profitability; net cash inflows from operating activities increased by ₹12.93 billion year-over-year.

• Non-recurring items included an insurance claim receipt of INR 110 million and one-time branding costs of INR 51 million.

Outlook and guidance

• Management remains cautiously optimistic, focusing on margin recovery, cost and raw material optimization, and operational discipline.

• Emphasis on leveraging R&D for new raw materials, developing alternative sources, and monitoring markets for debt optimization.

• Geopolitical uncertainty and commodity price volatility are expected to persist, requiring continued vigilance and flexibility.

• Gradual improvement in cement demand anticipated in H2 2026, supported by infrastructure projects like Amaravati.

• Regulatory and geopolitical risks, especially regarding Russian subsidiaries, are under close watch, but no significant impact is anticipated.