Rain Industries (RAIN) Q2 2025 earnings summary

Executive summary

• Revenue from operations reached Rs. 44.01 billion, up year-over-year and sequentially, with industry-leading safety performance (TRIR 0.03).

• Returned to profitability with net profit after tax of Rs. 500 million and EPS of Rs. 1.47 for Q2 2025.

• Adjusted EBITDA rose to Rs. 6.17 billion, improving both sequentially and year-over-year.

• Liquidity stood at $339 million, with no term debt maturities until October 2028.

• Strategic capital investments of $28 million focused on maintenance and long-term growth.

Financial highlights

• Q2 2025 consolidated net revenue was Rs. 43.35 billion, up year-over-year.

• Adjusted EBITDA for Q2 2025 was Rs. 6.17 billion, an increase year-over-year.

• Net debt at quarter-end was $853 million, with a net debt to EBITDA ratio of 4.2x.

• Working capital requirements increased due to higher raw material imports and timing of Indian financial year.

• Adjusted profit after tax was Rs. 495 million, compared to Rs. 70 million in Q2 2024.

Outlook and guidance

• Focus remains on restoring normalized operating margins and achieving sustained earnings improvement throughout 2025.

• Raw material constraints persist in the Carbon segment, with efforts underway to secure alternative sources.

• Management continues to monitor geopolitical risks, especially regarding Russian subsidiaries, but does not foresee significant impact on group results.

• Strategic initiatives in battery materials and biocarbon are expected to drive medium- to long-term growth.

• Cost savings, ESG compliance, and leveraging R&D for new product development remain priorities.