Ram Ratna Wires Q3 FY26 Profit Soars 73% on Record Revenue

Introduction

Ram Ratna Wires Limited has delivered a powerful performance for the third quarter ending December 31, 2025, reporting its highest-ever quarterly revenue, EBITDA, and Profit After Tax (PAT). The results reflect strong execution and robust demand across its key business segments, reinforcing the company's growth trajectory in the Indian electrical equipment sector.

A Record-Breaking Quarterly Performance

The company's consolidated financial figures for Q3 FY26 showcased significant year-on-year growth. Revenue from operations jumped by 43.8% to ₹1,277.9 crore, compared to ₹888.6 crore in the same quarter of the previous fiscal year. This top-line growth was driven by healthy demand for its wire and cable portfolio.

Operational efficiency also saw a marked improvement. Operating EBITDA surged by an impressive 84.9% to ₹72.0 crore from ₹38.9 crore a year ago. Consequently, the EBITDA margin expanded by 120 basis points to 5.6%, up from 4.4% in Q3 FY25, indicating better operating leverage and cost management. The company's net profit grew by 72.5% to ₹31.6 crore.

Financial Performance Summary

To provide a clear overview, here is a summary of Ram Ratna Wires' financial performance for the third quarter and the nine months ended December 31, 2025.

For the nine-month period of FY26, revenue increased by 25.9% to ₹3,423.8 crore, while net profit rose by 45.0% to ₹69.4 crore, underscoring sustained momentum throughout the fiscal year.

Core Business Strength: Standalone Results

The company's standalone performance, which reflects its core operations, was equally robust. For Q3 FY26, standalone revenue from operations grew by 42.1% year-on-year to ₹1,249.6 crore. Standalone Profit After Tax saw an even sharper increase, jumping 75.6% to ₹32.1 crore, with basic Earnings Per Share (EPS) rising to ₹3.45 from ₹1.96 in the corresponding period last year.

Growth Drivers: Copper Tubes and Electrification

According to the management, this exceptional growth is primarily fueled by strong demand in the copper tube segment. The Heating, Ventilation, and Air Conditioning (HVAC) industry has been a significant contributor, leading to an increased share of copper tubes in the company's business mix. This aligns with the growing demand for energy-efficient cooling solutions in India.

Furthermore, the copper winding wires segment continues to benefit from national initiatives focused on electrification and the expansion of power transmission and distribution infrastructure. These industry tailwinds provide a stable demand environment for the company's core products.

Strategic Focus on Capacity Expansion

Ram Ratna Wires is actively pursuing a strategy of expanding its domestic manufacturing capacity to reduce reliance on imports and capture a larger share of the domestic market. The company is making progress with its Inner Grooved Tube (IGT) manufacturing project, which is currently under evaluation. This focus on value-added products is expected to support margin improvement in the long run.

Diversification and Future Ventures

Beyond its core business, the company is leveraging its joint ventures and subsidiaries to explore new growth areas. Strategic developments are underway in product segments such as BLDC motors, hub motors, High-Volume Low-Speed (HVLS) fans, and wind tower fabrication. These ventures are expected to bolster the company's overall growth trajectory and diversify its revenue streams.

Management Transition

In a key corporate development, Ram Ratna Wires announced a change in its financial leadership. Rajeev Maheshwari has been redesignated from Chief Financial Officer (CFO) to Senior Vice President (Accounts & Taxation), effective April 1, 2026. Consequently, Iqbal Singh Saggu has been appointed as the new Senior Vice President (Finance) and Chief Financial Officer (CFO), with his term also beginning on April 1, 2026.

Outlook and Key Risks

The management remains confident about sustaining the current growth momentum, citing robust demand, favorable industry conditions, and ongoing capacity additions as key drivers. However, as the company operates in a commodity-linked sector, it remains susceptible to the volatility of copper prices. While an improved product mix and expanded capacity may provide a buffer, fluctuations in raw material costs remain a key risk to monitor. Additionally, the company's aggressive capital expenditure has led to higher debt levels, which requires careful financial management going forward.

Conclusion

Ram Ratna Wires' Q3 FY26 performance highlights a period of strong growth and successful strategy execution. The company is effectively capitalizing on demand from the HVAC and power infrastructure sectors. Its focus on domestic capacity expansion and diversification into new technologies positions it well for the future. Investors will be watching closely to see how the company leverages its new capacities to drive further growth while managing commodity risks and its balance sheet.