Rathi Steel & Power successfully conducted a trial run for the hot charging of mild steel billets to its TMT Bar Mill on June 06, 2026. This technological milestone is intended to manufacture high-quality MS TMT Rebars of Fe 550 and Fe 550D grades. The implementation marks a pivotal step in enhancing operational efficiencies and reducing production costs for the company.

The hot charging process facilitates the transfer of hot billets directly from the continuous casting machine to the rolling mill. This method drastically minimizes reheating requirements, resulting in significant savings in fuel consumption and a reduction in scale loss. By optimizing thermal energy, the company expects to substantially lower its carbon footprint, aligning operational growth with sustainable environmental practices.

The trial run successfully yielded Fe 550D grade MS TMT Rebars. These products are highly recognized in the infrastructure industry for their superior tensile strength, high ductility, and excellent seismic resistance capabilities. There is growing demand for these rebars from reputed real estate companies, which the company aims to cater to through this strengthened product portfolio.

Key Benefits of Hot Charging

The following table outlines the primary advantages of the hot charging process adopted by Rathi Steel & Power:

The disclosure was submitted to the exchange in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company confirmed that the successful trial run positions it to better meet the growing demands of India's infrastructure sector.

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.