Rushil Decor Limited has successfully completed the utilization of Rs 93.04 crores raised through its preferential issue of convertible warrants, marking the conclusion of its fund deployment for the quarter ended December 31, 2025. The company filed its statement of deviation/variation under Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, confirming no deviation from the originally stated objectives.

Fund Raising and Utilization Overview

The company's preferential issue, originally sized at Rs 122.66 crores with warrant allotment dated December 23, 2023, saw partial realization due to regulatory forfeitures. The fund utilization details are presented below:

Object-wise Fund Deployment

The company allocated the raised funds across four primary objectives, with complete deployment as per the original plan:

Regulatory Compliance and Monitoring

The fund utilization was monitored by CARE Ratings Limited as the designated monitoring agency. The company's Audit Committee reviewed the statement and provided no adverse comments, confirming adherence to the stated objectives. The auditors also provided no comments, indicating compliance with regulatory requirements.

Final Disclosure Confirmation

Rushil Decor Limited confirmed this as the final disclosure on the preferential issue, stating that the purpose of the issue has been completed with full utilization of the realized amount. The company also clarified that no warrants remain pending for conversion into equity shares, effectively concluding the preferential issue process.

The statement was signed by Company Secretary Hasmukh K. Modi and submitted to both NSE and BSE on February 10, 2026, fulfilling the company's regulatory obligations under SEBI guidelines.

Rushil decor Limited delivered a mixed performance in Q3 FY26, with consolidated revenue growing 2.3% year-on-year to INR 2,165 million despite facing seasonal demand softness during the festive period. The company's strategic focus on improving product mix and strengthening distribution networks helped drive performance across key business segments.

Financial Performance Overview

The company's financial metrics for Q3 FY26 reflected stable operations with room for improvement in profitability. Gross profit stood at INR 1,011 million with a margin of 46.7%, showing improvement compared to the previous quarter due to some moderation in resin prices, though they remained above normalized levels.

For the nine-month period FY26, revenue from operations was INR 6,313 million, reflecting a 5.4% year-on-year decline primarily attributed to operational disruptions in the first quarter. The company reported EBITDA of INR 434 million with a margin of 6.9% for the period.

Laminate Business Drives Growth

The laminate segment emerged as the standout performer during the quarter, with revenue growing 20.4% year-on-year and 6.9% sequentially to INR 585 million. This growth was supported by strong domestic performance and improved export dynamics.

Blended realization in the laminate business increased by 16% year-on-year, driven by higher export prices and a shift towards premium offerings. Branded realizations improved by 16% year-on-year, while export realization grew by 24% year-on-year, reflecting a higher share of value-added and differentiated products.

Jumbo Laminate Milestone Achievement

A significant development during the quarter was the commencement of commercial production under Jumbo Laminate Phase 2, making the company's fully planned capacity operational. The business generated revenue of INR 6.27 crores in Q3 FY26, operating at approximately 20-25% capacity utilization.

The company has positioned its Jumbo Laminates portfolio under three distinct brands: VIR KLADS for exterior facades, VIR TOPAZ for interior applications such as kitchen tops and countertops, and VIR VAULT for interior partitions including toilet cubicles.

MDF Business Shows Mixed Results

The MDF segment demonstrated resilience in domestic markets while maintaining a strategic approach to exports. Revenue for Q3 FY26 was INR 1,486 million, with domestic India revenue growing 29.4% year-on-year supported by higher volumes, wider dealer network, and improved realizations.

Export revenues declined due to lower volumes, although export realization remained strong. The company continues to focus on increasing the share of value-added products, targeting 50% value-added contribution by volume by the end of the financial year.

Outlook and Strategic Priorities

Management provided guidance for the current financial year, expecting overall turnover of around INR 900 crores with EBITDA margins of 8-9%. For FY27, the company targets revenue exceeding INR 1,000 crores with EBITDA margins in the range of 10-11%, supported by improved Jumbo Laminate utilization.

The company's strategic priorities remain focused on scaling up the laminate and Jumbo Laminate business, strengthening international footprint, and increasing the share of value-added products in MDF. With both phases of the Jumbo Laminate facility now operational and a growing export pipeline, the company is positioned for sustained growth in coming quarters.