Rathi Steel & Power Ltd Q1 FY27 Earnings Analysis
Published 3 Jul 2026 | Industrial Products | Market Cap: ₹182 Cr
Price
₹18.6
Market Cap
₹182 Cr
P/E Ratio
19.7
Revenue Rank
Margin Rank
How does Rathi Steel & Power Ltd rank in Industrial Products?
Compare Rathi Steel & Power Ltd against every Industrial Products company this quarter on revenue, margins and earnings-call signals.
Rathi Steel & Power Ltd — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹160 Cr, net profit ₹2 Cr.
Full financials →Earnings Summary
- Rathi Steel and Power Ltd aspires to maintain a growth momentum of 20% to 25% CAGR on average over the next three years, using FY25 as the base year. - The company aims to maintain a growth momentum of 20% to 25% CAGR over three years starting FY25, reflecting consistent revenue expansion.
📊 Revenue & Sales Performance
Rank 2- →Rathi Steel and Power Ltd aspires to maintain a growth momentum of 20% to 25% CAGR on average over the next three years, using FY25 as the base year.
- →The company targets ramping up utilization levels further, especially in the steel melting shop, aiming to increase from about 50-52% to nearly 80%.
- →There is significant available capacity headroom, with current rolling mill utilization at approximately 51-52%, expected to rise to 60-70% in the near term.
- →Growth will be supported by expanding the share of high-margin and value-added products, including premium 550D grade TMT bars.
- →The company is actively pursuing organic and inorganic growth opportunities aligned with steel and allied sectors.
- →Increasing focus on sustainable and green steel products is expected to drive institutional demand and revenue growth.
📈 Profitability & Margins
Rank 3- →The company aims to maintain a growth momentum of 20% to 25% CAGR over three years starting FY25, reflecting consistent revenue expansion.
- →Improved capacity utilization is expected to enhance EBITDA margins due to economies of scale, with current utilization around 51-52% and plans to ramp up to 75-80%.
- →Operational efficiencies and increased focus on high-margin stainless steel and premium 550D grade TMT bars will support margin expansion.
- →Sustainability initiatives, such as increased renewable power sourcing and rooftop solar plans, are expected to reduce energy costs, positively impacting profitability.
- →The company is actively pursuing organic and inorganic growth opportunities to sustain rapid growth.
- →Financial costs may reduce due to refinancing efforts aiming for lower borrowing rates than the current 16%.
- →Overall, continued volume growth, margin improvement, and cost optimization underpin optimistic earnings and EPS growth outlook.
🏗️ Capital Expenditure Plans
Yes💰 Fundraising & Capital Structure
Yes- →The company is currently in talks with its existing lender and exploring new lenders for refinancing existing debt and obtaining additional need-based facilities at a lower cost.
- →Present cost of borrowing stands at 16% from a single lender.
- →No specific mention of planned equity fundraising was made.
- →Focus is on improving financial stability and reducing finance costs through debt refinancing.
- →Capex plans involve moderate ongoing replacement and debottlenecking investments, with larger expansions subject to future demand visibility.
📋 Order Book & Pipeline
No informationKey Metrics
Revenue
Margin
Capex
Fundraise
Order Book
Frequently Asked Questions
What were Rathi Steel & Power Ltd Q1 FY27 results?
- Rathi Steel and Power Ltd aspires to maintain a growth momentum of 20% to 25% CAGR on average over the next three years, using FY25 as the base year. - The company aims to maintain a growth momentum of 20% to 25% CAGR over three years starting FY25, reflecting consistent revenue expansion.
What is Rathi Steel & Power Ltd share price analysis?
Rathi Steel & Power Ltd currently shows a moderate growth signal based on ranking data. The stock trades at a P/E of 19.7 with a market cap of ₹182. Investors should review the full earnings analysis for detailed insights.
Is Rathi Steel & Power Ltd planning capital expenditure?
- The company is evaluating expansion opportunities for its steel melting shop to increase capacity beyond the current 40-45%, subject to statutory clearances and future demand visibility.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.