RACL Geartech Limited reported a consolidated revenue of ₹512.42 crore for FY 2025-26, a 20.57% increase from ₹424.99 crore in the previous year. The company achieved its highest revenue milestone driven by exports, which constituted 75% of total sales. EBITDA surged 36.05% to ₹129.16 crore, improving margins to 25.21% from 22.34% in FY 2024-25. Profit Before Tax (PBT) more than doubled, rising 100.4% to ₹65.73 crore. For the quarter ended March 31, 2026, revenue grew 48% to ₹136.69 crore, while PBT increased 91.5% to ₹16.91 crore.

Consolidated Financial Performance FY 2025-26

The company's operational efficiency improved significantly across key metrics. Net Profit (PAT) for the standalone entity stood at ₹46.56 crore with a margin of 9.30%, up from 5.96% in the prior year. Cash generated from operations increased by 29.98% to ₹81.77 crore. Total debt reduced by 25.46% to ₹221.82 crore, enhancing the debt-equity ratio to 0.63 from 1.30.

Business Segment Distribution

Revenue was primarily driven by the export market, which accounted for 69% of sales concentrated in Europe. Domestic sales contributed 25%, while the USA and Canada made up 2%. The product portfolio is diversified, with Commercial Vehicles leading at 20%, followed by Recreational Vehicles at 18% and 2-Wheelers at 30%.

Strategic Updates and Projects

RACL Geartech secured nominations for 15 new components from Kawasaki, with SOP for one component already started. The company also received a nomination from ZF for steering components in commercial trucks for the North American market, with SOP expected in FY 2027-28. Additionally, a nomination for shift drums for ATVs was received from BRP Canada. The company announced new wins from Royal Enfield for a 350cc motorcycle engine, with commercial production expected by August-September 2026. Projects for BMW electric cars (Titan and Venus) are set for mass production starting October-November 2026.

RACL Geartech has confirmed that its promoters and promoter group, along with persons acting in concert, did not create any new encumbrances during the financial year ended March 31, 2026. This declaration ensures that no additional direct or indirect charges were placed on shares beyond those already disclosed to the exchanges. The disclosure is significant for shareholders as it indicates stability in the holding structure of the promoter group throughout FY26.

The company submitted the yearly disclosure to the National Stock Exchange of India and the Bombay Stock Exchange on April 03, 2026. The filing was made in compliance with Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. This regulation mandates that promoters annually report any encumbrance on their holdings to ensure transparency for investors.

Declaration Details

The formal declaration was made on behalf of the promoters by Gursharan Singh. The document explicitly states that no new encumbrances were made by the promoters or persons acting in concert during the specified period. The information was provided for the exchanges' records and to fulfil regulatory compliance requirements.

Key Filing Information

The disclosure was signed by Neha Bahal, Company Secretary and Compliance Officer for RACL Geartech Limited, and forwarded to the exchanges along with the promoter's declaration.