Usha Martin has officially published the notice for its 40th Annual General Meeting (AGM), scheduled for August 20, 2026, reinforcing its commitment to shareholder engagement following a year of robust financial performance. The company disclosed the notice under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, with advertisements appearing in "Business Standard" and "Aajkaal" on July 28, 2026. This procedural step finalizes the timeline for shareholders to vote on key resolutions, including a recommended final dividend of ₹3.75 per equity share for the financial year ended March 31, 2026.

The Board of Directors approved the dividend payout during its meeting on April 30, 2026, reflecting strong cash generation capabilities. Consolidated revenue grew 6.2% to ₹3,691 crore, while operating EBITDA rose 18.1% to ₹705 crore in FY26. The proposed dividend represents a 375% return on the face value of Re. 1 per share, subject to shareholder approval at the upcoming meeting. Payments will be made on or after August 24, 2026, within 30 days of declaration.

Key Dates and Deadlines

The AGM will be conducted exclusively via Video Conferencing/Other Audio Visual Means (VC/OAVM). Shareholders holding shares on the record date of August 13, 2026, are eligible to vote and receive the dividend. National Securities Depository Limited (NSDL) will manage e-voting from 9:00 A.M. (IST) on Monday, August 17, 2026, to 5:00 P.M. (IST) on Wednesday, August 19, 2026. Members unable to vote during this window can cast their votes electronically during the live AGM session.

Compliance and Special Windows

To ensure receipt of dividends, shareholders must complete specific compliance steps. Under the Income Tax Act, 2025, dividend income is taxable, requiring the company to deduct Tax at Source (TDS). Shareholders must submit required documents by Monday, August 10, 2026, to avoid delayed payments. Additionally, SEBI has opened a special window for the transfer and dematerialisation of physical securities sold or purchased prior to April 1, 2019. This window is active from February 5, 2026, to February 4, 2027. Eligible shareholders must submit transfer requests to KFin Technologies Limited within this period to regularize holdings.

Usha Martin reported a 40.9% year-on-year increase in consolidated net profit to ₹142 crore for the quarter ended June 30, 2026 (Q1FY27), driven by robust top-line growth and significant operating leverage. Consolidated revenue from operations climbed 16.4% to ₹1,033 crore from ₹887.2 crore in the corresponding period of the previous year. The improvement in profitability was underscored by an expansion in operating EBITDA margin to 20.1% from 16.3%, reflecting enhanced operational efficiency and cost management within its core Wire & Wire Ropes segment. Standalone net profit for the quarter rose 37.7% to ₹97.6 crore from ₹70.9 crore, while standalone turnover increased 18.9% to ₹642.5 crore.

The Board of Directors, at a meeting held on July 27, 2026, approved the unaudited standalone and consolidated financial results pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by S.R. Batliboi & Co. LLP, the statutory auditors, under Regulation 33. In recognition of the company's strong financial performance and improved credit profile, India Ratings and Research Pvt. Ltd. upgraded its Long-Term Credit Rating to IND AA-/Stable and reaffirmed the Short-Term Credit Rating at IND A1+. The newspaper advertisement for these results was published on July 28, 2026, in “Business Standard” and “Aajkaal”.

Financial Performance Highlights

Usha Martin's financial performance in Q1FY27 demonstrates strong momentum across key metrics. Consolidated Operating EBITDA improved year-on-year to ₹208 crore from ₹144.6 crore, representing a 43.8% increase. Profit before tax (PBT) rose 42.0% to ₹184.1 crore from ₹129.6 crore. Basic EPS stood at ₹4.66 for the quarter. Return on Capital Employed (ROCE) expanded to 21.4% from 18.2% in Q1FY26. On a standalone basis, PBT grew to ₹129 crore from ₹95.2 crore.

Operational Drivers and Cash Flow

Managing Director Rajeev Jhawar attributed the growth to an improved product and geographic mix, disciplined cost management, and timely pricing actions that offset higher input and freight costs. The rope business recorded healthy growth in India, the US, and Europe, particularly across higher-value applications, which helped offset volume reductions in the Middle East due to ongoing geopolitical conflict. The wires business delivered strong volume growth of around 19%, with revenue increasing by approximately 32%.

Earnings translated into strong cash generation, with the company reporting ₹242 crore of operating cash flow, representing 116% cash conversion of operating EBITDA. It ended the quarter with net cash of approximately ₹465 crore, up from ₹332 crore in March 2026. During the quarter, capital expenditure incurred was approximately ₹73 crore, focused on expanding capacity in specialised wire ropes and improving manufacturing efficiency. Free cash flow stood at ₹135 crore.

Segment and Geographic Breakdown

The Wire Rope segment remained the dominant revenue contributor, accounting for 73% of total sales, followed by LRPC at 12%, Wire at 9%, and Others at 6%. Geographically, international business contributed 57% of total revenue, with Europe being the largest market at 27%, followed by Asia Pacific (12%), Middle East & Africa (9%), and Americas (9%). India accounted for 43% of sales.

Legal Proceedings and Risk Factors

The auditor's report included an emphasis of matter paragraph regarding ongoing legal issues. The Directorate of Enforcement (ED) has attached certain land parcels in Ranchi valued at ₹1,903.70 million, alleging contravention of mining lease terms related to iron ore fines sales. Proceedings are ongoing under the Prevention of Money Laundering Act (PMLA), Prevention of Corruption Act, and Indian Penal Code. Additionally, the Central Bureau of Investigation (CBI) has filed cases against the company and its Managing Director. Management asserts that it has a strong legal case and that these proceedings have not affected ongoing operations. No provisions have been made in the financial statements for these matters.

What the Numbers Show

The expansion in operating EBITDA margin by approximately 3.8 percentage points highlights that Usha Martin's growth is fundamentally driven by its core wire rope business rather than non-operating items, reflecting effective pass-through of input costs or improved pricing power. With strong cash generation of ₹242 crore and a net cash position of ₹465 crore, the company is converting a higher proportion of revenue into liquid assets, signaling improved operational health despite the backdrop of prolonged legal uncertainties. The alignment between consolidated and standalone growth metrics indicates that the parent entity is performing in tandem with its subsidiaries, reinforcing the robustness of the overall group structure.