Rathi Bars Limited Reports Q3FY26 Results with Revenue Decline of 18% Year-on-Year

Rathi bars Limited announced its unaudited financial results for the third quarter ended December 31, 2025, showing mixed performance with revenue declining year-on-year while maintaining profitability. The company's board of directors approved the standalone financial results in compliance with Indian Accounting Standards during their meeting held on January 21, 2026.

Financial Performance Overview

The company's quarterly performance reflected challenging market conditions with revenue from operations declining significantly compared to the previous year:

Metric	Q3FY26	Q3FY25	Change (%)
Revenue from Operations	₹9,062.40 lacs	₹11,052.75 lacs	-18.0%
Other Income	₹34.36 lacs	₹0.25 lacs	+13,644%
Total Revenue	₹9,096.76 lacs	₹11,053.00 lacs	-17.7%
Net Profit	₹70.32 lacs	₹88.58 lacs	-20.6%

Cost Structure Analysis

The company's expense management showed varied trends across different cost categories during Q3FY26:

Expense Category	Q3FY26	Q3FY25	Change (%)
Cost of Materials	₹6,282.94 lacs	₹6,708.32 lacs	-6.3%
Purchase of Stock-in-Trade	₹1,538.61 lacs	₹3,651.99 lacs	-57.9%
Employee Benefits	₹118.46 lacs	₹122.97 lacs	-3.7%
Finance Costs	₹75.80 lacs	₹148.95 lacs	-49.1%
Total Expenses	₹9,026.44 lacs	₹10,964.41 lacs	-17.7%

Nine-Month Performance

For the nine-month period ended December 31, 2025, Rathi Bars Limited demonstrated resilience with relatively stable performance:

Parameter	9M FY26	9M FY25	Change (%)
Revenue from Operations	₹34,905.78 lacs	₹35,811.02 lacs	-2.5%
Total Revenue	₹35,015.49 lacs	₹35,811.27 lacs	-2.2%
Net Profit	₹251.57 lacs	₹245.01 lacs	+2.7%

Earnings Per Share and Capital Structure

The company maintained its equity share capital at ₹1,633.04 lacs with no changes during the quarter. Earnings per share for Q3FY26 stood at ₹0.43 compared to ₹0.54 in the corresponding quarter of the previous year. For the nine-month period, earnings per share improved to ₹1.54 from ₹1.50 in the previous year.

Regulatory Compliance and Auditor Notes

The financial results were prepared in accordance with Indian Accounting Standards and reviewed by statutory auditors MASAR & Co. The auditors noted that the Income Tax Department conducted a search at the company's premises during the quarter, with proceedings ongoing and resultant tax liability yet to be determined. The company's trading window remained closed from January 1, 2026, and will reopen forty-eight hours after the declaration of financial results.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-9.68%	-16.31%	-11.32%	-30.64%	-47.44%	+25.47%

Rathi Bars Limited has informed stock exchanges about search and seizure operations conducted by the Income Tax Department under Section 132 of the Income Tax Act, 1961. The company disclosed this development through a regulatory filing under Regulation 30 of SEBI Listing Regulations on December 22, 2025.

Search Operations Details

The Income Tax Department initiated the search and seizure action on December 15, 2025, targeting the company and its directors Mr. Anurag Rathi (DIN: 00063345) and Mr. Uddhav Rathi (DIN: 06604905). The operations were conducted simultaneously across multiple strategic locations, including the company's premises and directors' residences, and concluded on December 19, 2025.

Premises Covered and Timeline

The search operations covered three key locations with varying durations:

Location	Nature	Search Start	Search End
A-24/7, Mohan Co-operative Industrial Estate, Mathura Road, New Delhi-110044	Registered Office/Head Office	December 15, 2025 at 10:45 AM	December 19, 2025 at 06:55 PM
Plot No. SP1-7, RIICO Industrial Area, Khushkhera, Bhiwadi, Alwar, Rajasthan	Factory	December 15, 2025 at 07:00 AM	December 18, 2025 at 10:30 PM
6, Sadhna Enclave, Malviya Nagar, New Delhi	Residence of Directors	December 15, 2025 at 06:55 AM	December 15, 2025 at 06:00 PM

Company and Directors Involved

The search action specifically targeted:

Company: Rathi Bars Limited (CIN: L74899DL1993PLC054781)
Directors: Mr. Anurag Rathi and Mr. Uddhav Rathi
Locations: Corporate offices, manufacturing facilities, and personal residences

The operations at the factory premises in Rajasthan extended until December 18, 2025, while the search at the directors' residence concluded on the same day it began. The registered office search continued for the longest period, concluding on December 19, 2025.

Regulatory Compliance

Rathi Bars Limited has fulfilled its disclosure obligations by informing BSE Limited about the search and seizure action. Company Secretary and Compliance Officer Bharti Chitkara signed the regulatory filing, ensuring compliance with SEBI Listing Regulations. The disclosure was made to maintain transparency with stakeholders and meet regulatory requirements under the securities market framework.