Ratnamani Metals & Tubes Limited Earnings Summary — Q4 FY2026
Ratnamani Metals Reports Subdued Q4 Performance Amid Sector Cyclicality
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 10.4% sequentially in Q1 FY2027.
- Revenue of ₹972 Cr is 15.6% lower year-on-year.
- Revenue has compounded at -17.4% annualised over the last 10 quarters.
- Net profit of ₹82 Cr is 37.7% below the same quarter last year.
- Profit growth is trailing revenue growth this quarter.
- Net profit has compounded at -31.5% annualised across the period.
- Operating margin stands at 16.7% in Q1 FY2027.
- Operating margin expanded by 35 bps year-on-year.
- Over the last two years operating margin has expanded by 283 bps.
- PBT margin is 14.1%.
- Expense growth of -16.0% remained below revenue growth of -15.6%.
- Operating profit of ₹162 Cr is 13.8% lower year-on-year.
- Operating leverage has been under pressure recently.
- 2 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 35/100 (Weak) on the latest 10 quarters.
- Business momentum has softened and warrants monitoring.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Stable | 972 | 1,085 | 1,066 | 1,192 | 1,152 | 1,715 | 1,316 | 971 | 1,184 | 1,496 |
| Expenses | Stable | 809 | 931 | 861 | 980 | 963 | 1,413 | 1,112 | 818 | 1,020 | 1,250 |
| Operating Profit | Stable | 162 | 154 | 205 | 211 | 188 | 302 | 204 | 154 | 164 | 246 |
| Operating Margin | Stable | 16.7% | 14.2% | 19.2% | 17.7% | 16.3% | 17.6% | 15.5% | 15.8% | 13.9% | 16.4% |
| Other Income | Volatile | 18 | 41 | 13 | 27 | 30 | 9 | 19 | 20 | 12 | 39 |
| Interest | Stable | 6 | 6 | 7 | 7 | 11 | 7 | 7 | 14 | 10 | 12 |
| Depreciation | Improving | 36 | 35 | 33 | 32 | 32 | 29 | 27 | 26 | 26 | 25 |
| Profit Before Tax | Stable | 137 | 154 | 177 | 199 | 176 | 276 | 188 | 134 | 140 | 248 |
| Tax | Stable | 30 | 38 | 42 | 43 | 49 | 73 | 55 | 34 | 34 | 55 |
| Net Profit | Softening | 82 | 105 | 110 | 136 | 132 | 207 | 131 | 100 | 105 | 192 |
| Net Margin | Softening | 8.5% | 9.7% | 10.3% | 11.4% | 11.4% | 12.1% | 10.0% | 10.3% | 8.9% | 12.8% |
Key Takeaways
- Revenue for Q4 FY2026 showed a severe 36.7% year-on-year contraction compared to ₹1,715 Cr in Q4 FY2025.
- Operating Profitability (OPM) fell to 14%, down from 18% in the same quarter last year, marking a recent low.
- Net Interest costs remained low at ₹6 Cr, indicating disciplined financial leverage despite rising overall debt.
- Other income surged to ₹41 Cr, significantly cushioning the bottom line during a weak operational quarter.
- The balance sheet remains strong with Net Worth exceeding ₹4,111 Cr, providing a solid foundation for cyclical recovery.
- Capital Work in Progress (CWIP) rose to ₹302 Cr, suggesting ongoing investment in capacity for higher-value products.
- A full-year comparison shows FY26 sales of ₹4,494 Cr, falling short of the ₹5,186 Cr achieved in FY25.
Management Guidance
Management remains focused on high-spec industrial tubes and import substitution, targeting critical sectors like nuclear and defense to drive future margins.
Sentiment Shift
Deteriorating
Quarterly performance exhibits a sharp deceleration in both revenue and profitability compared to the strong fiscal year 2025.
Outlook
The outlook is cautious in the short term due to TTM sales and profit growth turning negative, but the company’s expansion into forging and nuclear spools provides long-term optimism.
From the Annual Report (Key Quotes)
“The balance sheet remains a fortress with negligible debt and substantial net worth.”
“Operating profit margins have been remarkably resilient, fluctuating within a tight band despite commodity price swings.”
“Visible cooling in performance suggests execution or demand headwinds in specific project cycles.”
Official Quarterly Documents
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This summary is AI-generated from Ratnamani Metals & Tubes Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.