Rapicut Carbides posts Rs 10.3813 crore first-half profit

Rapicut Carbides Limited reported Rs 10.3813 crore profit after tax for the half year ended September 30, 2026, reversing a Rs 15.75 lakh loss a year earlier, as revenue from operations rose to Rs 113.4172 crore from Rs 26.1955 crore; September-quarter profit was Rs 2.2134 crore.

How did Rapicut Carbides perform in the first half?

Rapicut Carbides moved to a first-half profit of Rs 10.3813 crore in the half year ended September 30, 2026, from a Rs 15.75 lakh loss in the corresponding 2025 period. Profit before tax was Rs 13.2515 crore, compared with a Rs 4.11 lakh pre-tax loss a year earlier, while revenue from operations increased by Rs 87.2217 crore.

Total revenue, which includes other income, reached Rs 113.5749 crore from Rs 26.2979 crore in the prior-year first half. Other income was Rs 15.76 lakh, compared with Rs 10.24 lakh, and total expenses rose to Rs 100.3233 crore from Rs 26.3389 crore, producing the Rs 13.2515 crore profit before tax.

The first-half revenue from operations of Rs 113.4172 crore was also higher than the Rs 96.2795 crore reported for the full year ended March 31, 2026. Basic and diluted earnings per share were Rs 19.33 for the September 2026 half year, against a negative Rs 0.29 in the year-earlier period.

Total comprehensive income, which includes profit after tax and other comprehensive income, was Rs 10.4132 crore for the six months ended September 30, 2026, compared with a negative Rs 16.72 lakh a year earlier. Paid-up equity share capital was unchanged at Rs 5.3712 crore, based on shares with a face value of Rs 10 each.

What changed in Rapicut Carbides' costs and tax?

Rapicut Carbides reported higher material consumption alongside the increase in revenue, while the inventory-change line reduced the reported expense total. Cost of materials consumed was Rs 118.5366 crore in the September 2026 half year, compared with Rs 22.0656 crore in the prior-year half, while changes in inventories were negative Rs 26.0594 crore against negative Rs 3.3845 crore.

Employee-benefit expense declined to Rs 3.0432 crore from Rs 3.1932 crore, whereas other expenses increased to Rs 3.9776 crore from Rs 3.8007 crore. Finance costs rose to Rs 50.68 lakh from Rs 38.94 lakh, and depreciation and amortisation increased to Rs 31.85 lakh from Rs 27.45 lakh.

Total tax expense for the first half was Rs 2.8703 crore, compared with Rs 11.64 lakh in the corresponding period of 2025. Current tax was Rs 2.843 crore, deferred tax was Rs 50,000 and tax relating to earlier years was Rs 2.22 lakh.

The company said it reported taxable profits during the September 2026 quarter and used eligible brought-forward business losses and unabsorbed depreciation available under the Income-tax Act, 1961, when calculating current tax. It said current tax was provided only on taxable income remaining after that set-off.

How did Rapicut Carbides' September quarter compare with June?

Rapicut Carbides' profit after tax fell sequentially to Rs 2.2134 crore in the quarter ended September 30, 2026, from Rs 8.1679 crore in the June 2026 quarter. The September result remained above the Rs 1.2497 crore profit after tax reported in the quarter ended September 30, 2025.

Revenue from operations was Rs 31.3764 crore in the September quarter, down from Rs 82.0409 crore in June but above Rs 15.8184 crore in the year-earlier September quarter. The June and September quarters together accounted for the Rs 113.4172 crore of first-half operating revenue.

Profit before tax was Rs 2.8242 crore in September, compared with Rs 10.4273 crore in June and Rs 1.3662 crore a year earlier. September-quarter total revenue was Rs 31.5187 crore and total expenses were Rs 28.6945 crore, compared with Rs 82.0561 crore and Rs 71.6288 crore, respectively, in June.

September-quarter current tax was Rs 64.14 lakh, below Rs 2.2016 crore in the preceding quarter. Basic and diluted earnings per share were Rs 4.12 in September, compared with Rs 15.21 in June and Rs 2.33 in the September 2025 quarter.

What changed in Rapicut Carbides' cash flow and balance sheet?

Rapicut Carbides recorded net cash used in operating activities of Rs 11.7246 crore during the half year ended September 30, 2026, compared with net operating cash generated of Rs 86.25 lakh in the corresponding prior-year half. Operating profit before working-capital changes was Rs 14.2522 crore, versus Rs 63.29 lakh a year earlier.

Inventories increased by Rs 35.4775 crore during the period, while trade payables increased by Rs 36.7559 crore. The cash-flow statement also showed Rs 2.4406 crore of lower other liabilities and Rs 2.039 crore of net direct taxes paid, contributing to the operating cash outflow.

Net cash used in investing activities was Rs 1.6531 crore, compared with Rs 24.22 lakh in the previous first half, including Rs 1.6817 crore spent on property, plant and equipment and capital work. Financing activities generated Rs 10.3825 crore, as borrowings increased by Rs 10.8893 crore and finance costs were Rs 50.68 lakh.

Cash and cash equivalents fell by Rs 2.9952 crore from Rs 3.0012 crore at March 31, 2026, to Rs 60,000 at September 30, 2026. Total assets increased to Rs 101.865 crore from Rs 65.538 crore, while total equity rose to Rs 32.1351 crore from Rs 21.7219 crore.

At September 30, 2026, inventories stood at Rs 74.1909 crore compared with Rs 38.7134 crore at March 31, 2026. Current liabilities were Rs 67.2297 crore, up from Rs 42.8472 crore, and included current borrowings of Rs 9.2299 crore and trade payables of Rs 46.2523 crore due to micro and small enterprises.

Conclusion

The September 2026 half-year filing shows a reported turnaround for Rapicut Carbides, with profit after tax changing from a Rs 15.75 lakh loss to a Rs 10.3813 crore profit as operating revenue rose from Rs 26.1955 crore to Rs 113.4172 crore. The quarterly split shows that June contributed Rs 8.1679 crore of the first-half profit, while September contributed Rs 2.2134 crore.

The next results will show whether the company can convert reported profit into cash after first-half operating cash outflow of Rs 11.7246 crore. The filing leaves inventory movement as a key unresolved matter: inventories increased by Rs 35.4775 crore to Rs 74.1909 crore during the six-month period, while cash and cash equivalents ended at Rs 60,000.