Rathi Steel and Power Limited reported a profit after tax (PAT) of ₹12.87 crores for the financial year ended March 31, 2026, registering a growth of 39.24%. The company's total income stood at approximately ₹716 crores, reflecting a year-on-year growth of 41.7%, while EBITDA stood at ₹28.9 crores with a growth of 18.8%. The strong performance was driven by healthy market demand, improved product mix, and operational efficiencies following the recommencement of its TMT bar mill operations.

Financial Performance

The company demonstrated robust momentum in the fourth quarter of FY26. Total income for Q4 rose to ₹244.57 crores, reflecting year-on-year growth of 63.3% and sequential growth of 52.7%. EBITDA for the quarter stood at about ₹9.89 crores, reflecting growth of 22% year-on-year and 54% quarter-on-quarter. Profit after tax for the quarter stood at ₹7.45 crores, with the PAT margin improving to 3%, reflecting a sequential expansion of almost 185 basis points.

Operational Highlights

Production levels in the rolling mill witnessed growth of approximately 117% on a year-to-year basis. The steel melting shop is currently operating at about 50% to 52% utilization, with plans to ramp this up towards nearly 80%. The company is also evaluating expansion opportunities of its steel melting shop at costs significantly below industry benchmarks. Additionally, the implementation of direct charging technology for the TMT division is expected to yield savings of approximately ₹3,000 to ₹4,000 per ton, improving thermal efficiency and reducing carbon emissions.

Sustainability and Outlook

Sustainability initiatives remained a key focus during the year, with green power sourced through open access contributing to more than one-fourth of overall power consumption. The company received the GreenPro Type-1 Ecolabel certification from the CII for its Rathi Powertech branded 550 grade of TMT bars. Looking ahead to FY27, the company aims to maintain a growth momentum of 20% to 25% and is actively working towards increasing the share of high-margin stainless steel products and premium 550D grade of TMT bars.

Rathi Steel and Power Limited filed a revised investor presentation for the quarter and financial year ended March 31, 2026, correcting inadvertent errors in the document submitted earlier on June 3, 2026. The revision addresses specific discrepancies on slide 5, where figures for Q4 FY25 were interchanged with Q4 FY26, and slide 19, where a figure related to CAPEX was incorrectly stated. The original presentation detailed the audited financial results discussed during an earnings conference call held on the same day.

The corrected data confirms that total income for Q4FY26 rose by 63.34% to ₹244.57 crore, compared to ₹149.73 crore in the corresponding period of the previous year. Operating income increased to ₹244.44 crore from ₹149.57 crore in Q4 FY25. Total expenditure for the quarter was reported at ₹141.67 crore, a decrease from ₹234.68 crore in the prior year, driven by lower raw material expenses which fell to ₹112.63 crore from ₹202.85 crore.

Despite the revenue growth, the company’s profitability metrics reflected the impact of the corrected expenditure figures. EBITDA for Q4FY26 stood at ₹8.06 crore, a decrease from ₹9.89 crore in Q4 FY25. Profit before tax (PBT) declined to ₹3.80 crore from ₹7.45 crore in the previous year, while profit after tax (PAT) also decreased to ₹3.80 crore. The company reported no tax expense for the quarter.

For the full financial year FY26, Rathi Steel and Power Limited recorded revenues of ₹716.05 crore, up from ₹503.15 crore in FY25. Raw material expenses for the year increased significantly to ₹572.494 crore from ₹377.87 crore. Total expenditure for FY26 was ₹687.60 crore. The balance sheet as of March 31, 2026, showed equity share capital at ₹86.36 crore and reserves and surplus at ₹54.63 crore.

Q4 FY26 Consolidated Financials Performance

Profit & Loss Statement Highlights