RHI Magnesita India (534076) Q1 26/27 earnings summary

Executive summary

• Achieved strong revenue and profitability growth in Q1 FY27, driven by the Steel segment, pricing discipline, and operational efficiency, despite a volatile environment.

• Leadership transition announced: Pankaj Malhan appointed as Managing Director and CEO, with Parmod Sagar continuing as Chairman.

• Safety remains a top priority, with expanded programs and recognition at the Odisha Safety Excellence Awards.

• Strategic focus on safety, sustainability, technology leadership, and customer-centric solutions to drive long-term value.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, were approved by the Board on August 11, 2026.

Financial highlights

• Revenue from operations reached INR 1,014 crores (₹1,014 crore), up 9% quarter-over-quarter and 6% year-over-year.

• EBITDA stood at INR 147 crores, a 42% year-over-year increase and 30% QoQ rise; EBITDA margin improved to 14.5% from 10.8% in Q1 FY26.

• Profit after tax nearly doubled to INR 65 crores from INR 35 crores year-over-year, compared to a loss in the previous quarter due to exceptional items.

• Cash and cash equivalents at INR 452 crores; balance sheet remains net cash positive, with net cash/EBITDA improved to 0.3x.

• Standalone and consolidated revenue and profit improved year-over-year, with Q1 FY27 showing strong recovery after prior quarter impairment charges.

Outlook and guidance

• Maintains EBITDA margin guidance at 13% for the year, with confidence in sustaining profitability.

• Expects to deliver 7–8% volume growth, aligning with market growth.

• Inventory build-up and working capital investments position the company for continued growth in FY27.

• Backward integration and supply chain resilience initiatives to support long-term sustainability.

• Anticipates project order contributions in H2 FY27, especially from coke oven and glass projects.