Rapicut Carbides delivered a strong financial turnaround in the quarter ended June 30, 2026, swinging to a net profit of ₹816.79 lakhs from a net loss of ₹141.06 lakhs in the corresponding quarter of the previous year. The board of directors approved the unaudited financial results at its meeting held on August 8, 2026, which commenced at 12.45 p.m. and concluded at 3.10 p.m. The results were reviewed and recommended by the Audit Committee and prepared in accordance with Ind AS-34 "Interim Financial Reporting" under Section 133 of the Companies Act, 2013.

Financial Performance: Q1 FY26 vs Q1 FY25

The company's revenue from operations rose sharply to ₹8,204.09 lakhs in Q1 FY26 from ₹1,037.71 lakhs in Q1 FY25, reflecting a significant year-on-year increase. Total revenue, including other income of ₹1.53 lakhs, stood at ₹8,205.61 lakhs compared to ₹1,038.35 lakhs in the year-ago period. Profit before tax came in at ₹1,042.73 lakhs, reversing a loss before tax of ₹140.73 lakhs in Q1 FY25. The following table summarises the key financial metrics across reporting periods (₹ in Lakhs):

Expense Breakdown

Total expenses for Q1 FY26 amounted to ₹7,162.88 lakhs, compared to ₹1,179.08 lakhs in Q1 FY25. The cost of materials consumed was the largest component at ₹8,770.69 lakhs, partially offset by a favourable change in inventories of finished goods, work-in-progress, and stock-in-trade of ₹(2,010.48) lakhs. Other key expense items are detailed below:

Tax and Earnings Per Share

The company reported a total tax expense of ₹225.94 lakhs for Q1 FY26, comprising current tax of ₹220.16 lakhs, deferred tax of ₹3.56 lakhs, and earlier years' tax of ₹2.22 lakhs. Notably, the company utilised eligible brought-forward business losses and unabsorbed depreciation available under the Income-tax Act, 1961, while computing the current tax liability, with current tax provided only on the balance taxable income remaining after such set-off. Basic and diluted earnings per share (face value ₹10/- each) stood at ₹15.21 for Q1 FY26, compared to ₹(2.63) in Q1 FY25. Paid-up equity share capital remained unchanged at ₹537.12 lakhs across all reported periods.

CFO Appointment and Corporate Developments

The board approved several key corporate actions at its August 8, 2026 meeting. Mr. Pratham Pandya has been appointed as Chief Financial Officer of the company with effect from August 10, 2026. The following table outlines his profile:

Additionally, the board announced that the 49th Annual General Meeting of the company will be held on Saturday, September 26, 2026. The company operates in a single reportable primary business segment — Tungsten Carbides Products — as per Ind AS 108. The statutory auditors, K C Mehta & Co LLP (Firm Registration No. 106237W/W100829), issued a Limited Review Report on the unaudited financial results, with the review conducted from Vadodara on August 8, 2026.

Rapicut Carbides Limited returned to profitability in the financial year ended March 31, 2026, posting a net profit of ₹206.12 lakh compared to a net loss of ₹232.58 lakh in the previous year. The turnaround was driven by a substantial increase in revenue from operations, which rose to ₹9,627.95 lakh from ₹4,198.64 lakh in FY25. The company’s financial performance for the quarter ended March 31, 2026, also reflected this positive trend, with a net profit of ₹64.88 lakh on revenue of ₹4,930.67 lakh.

The Board of Directors approved the audited financial results for the quarter and year ended March 31, 2026, during a meeting held on May 30, 2026. M/s K C Mehta & Co LLP, the statutory auditors, issued an unmodified opinion on the audited standalone financial results. In addition to the results, the Board appointed M/s RAYS and Associates as internal auditors and S M R P & Associates as tax auditors for the financial year 2026-27.

Financial Performance

The company’s total comprehensive income for FY26 stood at ₹213.93 lakh, a sharp recovery from the negative comprehensive income of ₹231.86 lakh reported in the prior year. Earnings per share (EPS) for the year improved to ₹3.84 from a loss of ₹4.33 per share in FY25. For the quarter ended March 31, 2026, basic and diluted EPS were reported at ₹1.21.

Key Financial Metrics (₹ in Lakhs)

Balance Sheet and Cash Flows

The company’s total assets as of March 31, 2026, increased to ₹6,553.80 lakh from ₹3,178.71 lakh a year earlier. This growth was supported by a rise in inventories to ₹3,871.34 lakh and cash and cash equivalents to ₹300.12 lakh. The equity base strengthened, with total equity reaching ₹2,172.19 lakh compared to ₹1,958.27 lakh in the previous year.

Cash flow from operating activities turned positive at ₹1,177.44 lakh for FY26, against a net outflow of ₹390.32 lakh in the previous year. This improvement was primarily due to operational profitability and efficient working capital management. The company repaid borrowings amounting to ₹670.62 lakh during the year, significantly reducing its debt burden.