RHI Magnesita FY26 revenue hits ₹4,020 cr, cash ₹409 cr

Record revenue milestone, but profitability split

RHI Magnesita India Limited reported audited results for the year ended March 31, 2026, with revenue from operations crossing the ₹4,000 crore mark for the first time. The company’s consolidated revenue from operations rose 9% year-on-year (YoY) to ₹4,019.95 crore (also referenced as about ₹4,020 crore). Management attributed the top-line expansion to performance in steel and ironmaking, along with market share gains.

But FY26 was not a clean story on profits. While the company reported adjusted profitability before exceptional items, it also disclosed significant reported losses after exceptional items, driven largely by impairment charges. The contrast between adjusted metrics and reported net results became the main focal point for investors tracking the quarter and full-year outcome.

FY26 topline growth and shipment trend

The company said it operated through an environment marked by pricing pressure, inflationary costs, overcapacity and intense competition, yet delivered record sales. Consolidated shipments were reported at 523 kilotonnes (kt) in the financial highlights, while management commentary also referenced 526 kt, reflecting around mid-single-digit growth.

RHI Magnesita India also highlighted traction from previously acquired Dalmia assets. Revenue from these assets grew 14% to ₹1,153 crore in FY26, suggesting continued scaling and integration benefits from the acquired portfolio.

FY26 operating performance: EBITDA and margins

On an adjusted basis (before exceptional items), FY26 adjusted EBITDA stood at ₹477 crore. The adjusted EBITDA margin was 11.9%, down from 13.7% in FY25, indicating that higher costs and pricing pressures weighed on profitability despite revenue growth.

Adjusted profit after tax (PAT) for FY26 was ₹180 crore, and adjusted EPS was reported at 8.4, up 38% YoY. Management also flagged disciplined capital allocation and continued focus on technology-led and integrated solutions, positioning these as responses to an increasingly competitive operating backdrop.

Cash flow strength and capital allocation signals

A key positive in the FY26 print was cash generation. Net cash inflow from operating activities (consolidated) was ₹409.10 crore, up 9% YoY, and management described the balance sheet as net cash-positive.

The company reported capex spend of ₹100 crore in FY26 and indicated projected capex of ₹150 crore for FY27. Separately, a brokerage note cited a net cash position of ₹69 crore as of Q4 FY26, compared with ₹35.2 crore at the end of Q3 FY26.

Reported losses after exceptional items: impairment impact

Despite adjusted profits, the company reported losses after exceptional items due to large impairment charges. For FY26, RHI Magnesita India reported a consolidated net loss of ₹382.94 crore versus a profit of ₹202.51 crore in FY25, citing a goodwill impairment of ₹556.24 crore.

For the quarter ended March 31, 2026, standalone and consolidated net losses after exceptional items were reported at ₹624.42 crore and ₹518.11 crore, respectively. The quarterly numbers also showed profit-before-tax moving sharply negative (reported at -₹503.03 crore in one dataset), underlining how exceptional items overwhelmed operating earnings in the quarter.

Q4 FY26: revenue steady YoY, weaker sequentially

In Q4 FY26, total revenue was reported at ₹932.26 crore. This was up 1.56% YoY but down 14.63% quarter-on-quarter (QoQ) compared with ₹1,092.01 crore in Q3 FY26.

Management linked quarterly softness to factors such as geopolitical disruption and a softer cement demand cycle. On an adjusted basis for the quarter, EBITDA was ₹113 crore with an EBITDA margin of 12.1%, and adjusted PAT was ₹39 crore.

Stock reaction and what investors focused on

Shares of RHI Magnesita India Ltd fell sharply after the Q4 FY26 results, declining 12.95% in Monday’s trade to a low of ₹353.60. Market commentary highlighted that adjusted EBITDA of ₹113 crore in Q4 FY26 was below a brokerage estimate of ₹145 crore, with the quarter affected by lower volumes and higher other expenses.

The company’s market capitalisation was also cited at about ₹8,322 crore, and it was described as holding the second position in India’s Electrodes & Refractories sector. While earnings disappointed due to the exceptional impact, balance sheet metrics such as net cash were pointed out as a support.

Audit outcome, CSR recognition, and disclosures

RHI Magnesita India stated that audited standalone and consolidated financial results for FY26 were approved, with auditors issuing unmodified opinions. The company also referenced recognition by state governments for CSR, safety and environmental excellence.

It additionally noted that an audio recording of its earnings conference call and an investor presentation covering Q4 and FY26 performance were made available on its official website.

Key numbers at a glance

Dividend and FY27 reference points

The company declared a final dividend of ₹2.50 per share. It also referenced an EBITDA margin projection of 13% for FY27, offering a clear metric that investors are likely to monitor against the FY26 margin outcome.

Why the FY26 print matters for the refractory sector

RHI Magnesita India’s FY26 results captured a common pattern in industrial businesses: revenue resilience and cash generation, but pressure on margins in a high-competition and cost-inflation environment. The year also showed how exceptional items can dominate reported profitability, especially when large impairment charges are involved.

For investors, the separation between adjusted performance (EBITDA, PAT) and reported net results (after exceptional items) becomes central to reading the earnings quality. The combination of record revenue, lower margins, strong operating cash flow, and a net cash position sets the factual framework for tracking FY27 execution, including the company’s capex plan and stated margin target.

Conclusion

RHI Magnesita India ended FY26 with record consolidated revenue of ₹4,019.95 crore and operating cash flow of ₹409.10 crore, but reported losses after exceptional items due to sizeable impairment charges. Near-term attention is likely to remain on margin delivery, cash generation, and updates around the company’s FY27 capex plan and the stated 13% EBITDA margin projection.