RITES (RITES) Q3 25/26 earnings summary

Executive summary

• Achieved highest-ever order book at ₹9,262 crore as of December 31, 2025, with over ₹1,100 crore in new orders during Q3FY26, including major consultancy, turnkey, and export contracts.

• Achieved strong Q3 performance with sequential growth in operating revenue and EBITDA, maintaining strategic milestones set at H1 end.

• Board recommended an interim dividend of ₹1.90 per share, resulting in a 95.6% dividend payout.

• Consolidated revenue from operations for Q3 FY26 was ₹608.59 crore, up from ₹575.76 crore in Q3 FY25; nine-month revenue reached ₹1,647.07 crore, up from ₹1,602.38 crore year-over-year.

• Management reiterated commitment to double-digit growth for FY 2026 and highlighted FY 2027 as a year of disruptive growth.

Financial highlights

• Q3FY26 consolidated EBITDA rose 18.9% year-over-year; PBT and PAT increased by 7.0% and 5.2%, respectively.

• Q3FY26 consolidated operating revenue grew 5.7% year-over-year to ₹609 crore; total revenue up 3.4% to ₹635 crore.

• EBITDA margin at 24% and PAT margin at 18%, both above the red lines of 20% and 15% respectively.

• Consultancy margins remain robust at 35.4%, while turnkey margins are lower at 1.8%.

• Export segment margin stabilized at 13-14% due to competitive bidding.

Outlook and guidance

• Double-digit revenue and profit growth expected for FY 2026, with Q4 poised for higher performance than Q3.

• FY 2027 projected as a year of disruptive growth, with all business streams contributing.

• Export and turnkey segments expected to drive significant topline expansion from Q1 FY 2027 onwards.

• Consultancy segment targeted to grow at 10% annually, up from current 5%.

• Export income expected to rise with ongoing locomotive supplies to Mozambique.