Raymond approves Rs 330.88 crore fund raise via warrants

Raymond has approved raising funds aggregating to Rs 330.88 crore through the preferential issue of warrants to JK Investors (Bombay) Limited, a member of the promoter group. The board of directors at its meeting on May 25, 2026, sanctioned the issuance of up to 66,57,373 warrants at a price of Rs 497 per warrant, including a premium of Rs 487. This strategic move is subject to the approval of the company's members and other statutory regulatory clearances.

The warrants issued are convertible into fully paid-up equity shares of the company at any time within 18 months from the date of allotment. Each warrant carries the right to subscribe to one equity share with a face value of Rs 10. If the allottee fails to exercise the conversion rights within the stipulated period, the unconverted warrants will lapse, and the amount paid will be forfeited.

Key Issue Details

Detail	Information
Total Amount	Rs 330.88 crore
Number of Warrants	66,57,373
Issue Price	Rs 497 per warrant (Premium: Rs 487)
Conversion Tenure	18 months from allotment
Allottee	JK Investors (Bombay) Limited

Shareholding Pattern

The preferential issue will alter the shareholding structure of JK Investors (Bombay) Limited. On a fully diluted basis assuming full conversion, the promoter group entity's stake will increase.

Shareholder	Pre-issue Shares	Pre-issue %	Post-issue Shares*	Post-issue %*
JK Investors (Bombay) Limited	1,98,61,793	29.83%	2,65,19,166	36.21%

*The post-preferential shareholding is on a fully diluted basis assuming full conversion.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-3.60%	+2.30%	+22.52%	+8.49%	-15.21%	+600.09%

Raymond Limited's Board of Directors approved the Audited Financial Results (Standalone & Consolidated) for the financial year ended March 31, 2026. The company reported a consolidated total income of ₹2,312 Cr for FY26, representing a 10% increase over the previous year's ₹2,105 Cr. Net profit for the year grew 3% year-on-year to ₹53 Cr from ₹52 Cr in FY25. Raymond ended the year with a net cash surplus of ₹68 Cr, maintaining a net-debt-free status.

Consolidated Financial Performance

Revenue from operations for FY26 stood at ₹2,212 Cr compared to ₹1,947 Cr in FY25. EBITDA remained flat year-on-year at ₹335 Cr, with an EBITDA margin of 14.5% versus 15.9% in the previous year. The margin compression was attributed to a reduction in non-operating income following the transfer of ₹600 Cr to Raymond Realty post-demerger. FY26 EBITDA included a one-time gain of approximately ₹13 Cr from the sale of land in Q2 FY26.

Particulars (₹ Cr.):	Q4 FY26	Q3 FY26	Q4 FY25	YoY Change	FY26	FY25	YoY Change
Revenue from Operations:	603	557	557	2%	2,212	1,947	10%
Other Income:	10	23	44	(78%)	100	158	—
Total Income:	613	580	601	2%	2,312	2,105	10%
EBITDA:	85	83	99	(14%)	335*	335	(0%)
EBITDA Margin %:	13.9%	14.3%	16.4%	—	14.5%	15.9%	—
Net Profit:	12	7	25	(53%)	53	52	3%

*FY26 EBITDA includes a one-time gain of ~₹13 Cr on account of sale of land in Q2 FY26.

Segmental Performance

Aerospace & Defence

The Aerospace & Defence segment delivered strong growth, with full-year revenue rising 26% YoY to ₹392 Cr from ₹311 Cr in FY25. EBITDA grew 25% to ₹88 Cr, with margins remaining stable at 22.3%. The segment holds an order book of INR 2,350+ crore over the next 5 years. Management highlighted that over 75% of products are for the engine segment across global OEMs.

Aerospace & Defence (₹ Cr.):	Q4 FY26	Q4 FY25	YoY	FY26	FY25	YoY
Revenue:	119	107	11%	392	311	26%
EBITDA:	30	27	11%	88	70	25%
EBITDA Margin:	25.5%	25.5%	—	22.3%	22.4%	—

Precision Technology & Auto Components

The Precision Technology & Auto Components segment reported FY26 revenue of ₹1,667 Cr, up 10.2% from FY25. EBITDA surged 34% to ₹223 Cr, driven by volume growth, improved product mix, and operational efficiencies. The margin expanded to 13.4% from 11.0% in the previous year.

Precision Technology & Auto Components (₹ Cr.):	Q4 FY26	Q4 FY25	YoY	FY26	FY25	YoY
Revenue:	442	421	5%	1,667	1,513	10%
EBITDA:	67	53	26%	223	167	34%
EBITDA Margin:	15.2%	12.7%	—	13.4%	11.0%	—

Capital Expenditure and Expansion Plans

Raymond announced a transformative capital expenditure program of INR 930 crores over the next 5 years to meet surging international demand. This includes INR 500 crores for the Aerospace & Defence segment and INR 430 crores for Precision Technology & Auto Components. The company is establishing a greenfield facility in Gudipalli, Andhra Pradesh, with commercial production expected to commence by the second half of FY28. Management indicated a target of adding 250 to 300 new components annually.