Tinna Rubber & Infrastructure Ltd Q3 FY26 Earnings Analysis

- The company expects to close FY '26 with a 12% to 15% growth over the previous year, down from the earlier 20% target due to extended monsoon and strategic product focus. - For FY '27, sales are projected between INR 725 crores to INR 750 crores. - Vision 28 aims for a revenue CAGR of over 25%, targeting INR 1,000 crores by FY '28. - Exports are a key growth driver, with a targeted 30% volume increase by Q4 FY '26. - New initiatives like the recycled carbon black (rCB) plant are expected to contribute INR 100-125 crores to the top line in FY '27. - Business expansion planned in Southern India, Northern India, GCC countries (Oman, Saudi Arabia), and South Africa. - Infrastructure and industrial segments anticipate stronger contributions, supported by growing demand and new product approvals.

- FY '26 growth is expected at 12% to 15% over previous year, down from earlier 20% guidance. (Page 6, 7, 14) - EBITDA margins improved to 18.5% in Q2; full year expected to be around 17% to 18.5%. (Page 7, 12, 14) - PAT conversion expected around 10% of top-line in FY '26. (Page 14) - Expansion plans include new businesses: recovered carbon black (rCB) plant and PCMB business, contributing to growth and profitability. (Page 11, 12) - Vision 28 aims for 25%+ CAGR revenue growth reaching INR 1,000 crore by FY '28 with EBITDA margins above 18% and ROCE of 30%. (Page 5) - Investments like rCB and pyrolysis plants with 4-5 year payback expected to be margin accretive and contribute INR 100-125 crore revenue by FY '27. (Page 10, 12) - Export growth targeted at 30% volume increase by Q4 FY '26, supporting top-line growth. (Page 5, 13)

- Ongoing capex plan of approximately INR 100 crores to be completed by FY '27. - H1 FY '26 capex spend of approximately INR 56 crores; remaining deployment need-driven. - Around INR 18 crores utilized from QIP funds for pyrolysis and recovered carbon black (rCB) project. - INR 9 crores utilized for solar power expansion aiming to increase renewable energy capacity from 1.23 MW to 4.48 MW by end of Q3 FY '26. - Investment of INR 50 crores planned for combined pyrolysis and rCB plant setup (100 TPD capacity). - Target to scale renewable energy to meet 50% of total power consumption by FY '26 end, supporting ESG commitments. - The company is allocating up to 3% of PAT towards R&D for future readiness and innovation. - New initiatives underway: PCMB business, rCB business, ventures in Saudi Arabia and South Africa for growth acceleration.

- There is no explicit mention of any new fundraising through debt or equity in the call transcript. - The company has already utilized QIP funds totaling INR 50 crores: INR 23 crores for debt reduction, INR 19 crores for general corporate purposes, INR 18 crores for the pyrolysis and rCB project, and INR 9 crores for solar power expansion. - Capex of approximately INR 100 crores is underway, with INR 56 crores already spent in H1 FY '26; further expenditures will be deployed on a need-driven basis. - No announcements or plans were discussed regarding fresh debt or equity raises during this earnings call. - Management emphasized operational improvements and strategic initiatives funded from internal resources and prior capital raises.

- The company reports a strong order pipeline supporting confidence in growth. - Despite a modest 3% dip in revenue in H1 FY26, the order book and forecasts for H2 indicate expected year-end growth of 10% to 15% over the previous year. - Growth prospects are driven by product approvals and customer engagements, with new business lines contributing progressively. - The company anticipates maintaining or improving margins, supported by diversification and a pan-India presence. - The order book includes opportunities in multiple segments such as industrial, infrastructure (notably CRM business growth of 75% volume), and consumer segments. - Export volumes are targeted to increase by 30% by Q4 FY26, indicating a robust backlog. - New initiatives like PCMB, rCB business, and ventures in Saudi Arabia and South Africa contribute to the expected order inflow.