Rajratan Global Wire Limited has released the official transcript of its earnings conference call for the quarter and financial year ended 31st March 2026. The call, conducted on 22nd April 2026, was hosted by 360 One Capital Markets and attended by key management personnel including Chairman and Managing Director Sunil Chordia, CEO and Deputy Managing Director Yashovardhan Chordia, and CFOs from both India and Thailand operations.

Record Sales Performance Despite Challenges

The company achieved significant milestones during FY26, recording its highest ever sales tonnage across all operations. Management highlighted strong volume growth momentum despite global geopolitical uncertainties affecting supply chains worldwide.

Margin Pressures from Raw Material Costs

The fourth quarter presented challenges with EBITDA margins coming under pressure due to sudden increases in steel prices. Chairman Sunil Chordia explained that steel prices rose by approximately INR10,000 per ton from January to March 2026, which the company could not immediately pass on to customers during that period.

"There was a sudden increase in steel prices beginning from January. So from January till March, the prices went up by almost INR10,000 a ton, which we could not pass on to the customer. That is why the EBITDA percentage in this quarter has gone down," Chordia stated during the call.

The management confirmed that price increases have been successfully passed on to customers in the current quarter, with expectations of margin recovery to the targeted 13.5% to 14% EBITDA range.

Capacity Expansion and Growth Projections

The company outlined its expansion plans across multiple facilities, with significant capacity additions planned for the Chennai plant and new product development initiatives.

Chennai Plant Expansion

Steel Cord Project Development

The company is developing a new steel cord manufacturing facility for conveyor belt applications, representing diversification into niche markets.

Export Business Expansion

The company demonstrated strong export growth momentum, with management highlighting robust demand across multiple geographies despite shipping disruptions.

CEO Yashovardhan Chordia noted that while geopolitical issues have caused shipping disruptions, particularly from the Thailand plant, overall export market development remains robust with multiple European companies having approved the company for regular supplies.

Financial Guidance and Outlook

Management provided comprehensive guidance for the upcoming financial year, projecting continued growth momentum across all operational parameters.

Volume Growth Projections FY27

• Overall Consolidated Growth: 17%-18%
• Total Sales Target: Approximately 155,000 tons
• Thailand Growth: 10%-14% (capacity constraints)
• India Growth: Higher percentage to compensate for Thailand limitations

The management expressed confidence in maintaining EBITDA margins between 13.5% to 14% on a consolidated basis, assuming normal market conditions without major global disruptions.

Operational Highlights

The company operates across three key locations with varying capacity utilization levels and strategic focus areas.

Chairman Sunil Chordia emphasized the company's resilience in navigating challenging market conditions while maintaining its leadership position in the bead wire segment. The management team expressed optimism about continued growth prospects, citing strong customer relationships built over 30 years and robust demand pipelines across all major markets.

Rajratan Global Wire has delivered its highest ever sales tonnage performance in Q4FY26, achieving significant volume growth despite facing operational challenges from external market factors. The company conducted its earnings conference call on April 22, 2026, revealing both strong operational achievements and margin pressures.

Record Sales Performance

The company achieved remarkable volume growth across its operations, demonstrating resilience in challenging market conditions. Key performance metrics highlight the company's operational strength:

Margin Pressures and Cost Challenges

Despite strong volume performance, the company faced significant margin pressures during Q4FY26. Steel prices increased by approximately INR10,000 per ton from January to March 2026, which could not be immediately passed on to customers. This sudden raw material cost escalation, combined with energy availability and pricing issues, impacted EBITDA margins in the quarter.

The company has successfully implemented price increases in the current quarter to offset these cost pressures and expects margins to normalize to the 13-14% EBITDA range.

Capacity Expansion and Growth Strategy

Rajratan Global Wire is executing strategic capacity expansions across its facilities:

The Chennai facility achieved 85-90% capacity utilization by March 2026, prompting the capacity doubling initiative. The steel cord project for conveyor belts represents a strategic diversification into niche markets with higher realization potential of approximately INR150 per kg.

Export Growth and Global Expansion

The company demonstrated strong export performance with exports from India reaching over 9,000 tons in FY26, representing 250% growth. For FY27, the company targets approximately 15,000 tons of exports from India. Regional growth projections include 30% growth in North America, 50% growth in Europe (from low base), and 10-15% growth in Southeast Asia.

FY27 Outlook and Guidance

Management provided optimistic guidance for FY27, targeting 17-18% volume growth to reach approximately 155,000 tons total sales. This growth will be driven primarily by India operations due to Chennai capacity ramp-up, while Thailand is expected to grow 10-14% to 55,000-56,000 tons due to capacity constraints.

The company maintains confidence in achieving 13.5-14% EBITDA margins on a consolidated basis, having successfully passed on the steel price increases to customers in the current quarter.