Ramky Infrastructure , a prominent player in the infrastructure sector, has reported a decline in its financial performance for the second quarter. The company's consolidated results show a decrease in key financial metrics compared to the same period last year.

Financial Highlights

Key Takeaways

1. Profit Decline: Ramky Infrastructure's consolidated net profit decreased to ₹752.00 crore from ₹781.00 crore year-over-year, representing a 3.71% reduction.

2. Revenue Contraction: The company experienced a significant drop in revenue, falling to ₹4,700.00 crore from ₹5,300.00 crore, marking an 11.32% decrease.

3. EBITDA Performance: EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) saw a substantial decline, dropping to ₹827.00 crore from ₹1,300.00 crore in the same quarter last year.

4. Margin Pressure: The EBITDA margin contracted notably, falling to 17.53% from 24.40% in the corresponding period of the previous year, indicating increased cost pressures or reduced operational efficiency.

The financial results suggest that Ramky Infrastructure faced challenges during the quarter, with declines across all major financial indicators. The significant drop in EBITDA and EBITDA margin might indicate increased operational costs or reduced project profitability.

Investors and stakeholders may want to keep a close eye on the company's future announcements and strategies to address these financial challenges and improve its market position in the infrastructure sector.

Ramky Infrastructure Limited (RIL) has issued a postal ballot notice seeking enhanced shareholder approval for material related party transactions with two entities. The company is requesting approval for transactions worth INR 72,550.00 million, significantly increasing the limits previously approved at the Annual General Meeting held on September 25, 2025.

Key Details of the Proposed Transactions

Numen Growth Partners Private Limited (Numen)

• Member of the promoter group, holding 2.41% equity in RIL
• Proposed transaction value: INR 3,850.00 million for FY 2025-26
• Key new approval: INR 1,500.00 million Inter-Corporate Deposit (ICD) at 14% interest rate

Srinagar Banihal Expressway Limited (SBEL)

• Subsidiary of RIL (99% ownership)
• Proposed transaction value: INR 68,700.00 million, including corporate guarantees and claims
• Key new approvals:
  • INR 8,000.00 million corporate guarantee for SBEL's lenders
  • Increased ICD limits between RIL and SBEL

Transaction Details

Rationale and Implications

The company states that these enhanced limits are necessary due to progressing financial requirements. For the ICD to be taken by RIL, the company mentions that it plans to avail new ICD from Numen until RIL's credit rating improves. The ICD to be given by RIL is described as an effective utilization of operational funds, providing returns above the bank borrowing rate.

It's important to note that SBEL, a subsidiary of RIL, was declared a Non-Performing Asset (NPA) by lenders in 2018. However, the company entered into a negotiated settlement with Asset Reconstruction Companies on March 30, 2023, and is currently not classified as an NPA.

Voting Details

• Remote e-voting period: October 17 to November 15, 2025
• Cut-off date for voting eligibility: October 10, 2025
• Results announcement: By November 18, 2025

Shareholders are advised to carefully review the full postal ballot notice for comprehensive details of the proposed transactions and their potential implications before casting their votes.

Note: All financial figures are in Indian Rupees (INR) and are based on the information provided in the postal ballot notice.