Rajratan Global Wire Ltd. – FY2025‑26 Results & Dividend
Date: 21 Apr 2026
Company: Rajratan Global Wire Ltd. (RGWL)
Scrip Code: 517522
Exchange: BSE & NSE
1. Key Highlights
- Revenue:
- Standalone: Rs 72.74 bn (↑ 23% YoY)
- Consolidated: Rs 116.23 bn (↑ 24% YoY)
- Net Profit:
- Standalone: Rs 4.48 bn (down 3% YoY)
- Consolidated: Rs 7.01 bn (↑ 19% YoY)
- Earnings‑per‑Share (EPS):
- Standalone (basic & diluted): Rs 8.82 (↑ 116% YoY)
- Consolidated (basic & diluted): Rs 13.81 (↑ 19% YoY)
- Dividend: Final dividend of Rs 2 per equity share (100% of face value) recommended, pending AGM approval.
- Cash Position:
- Standalone cash & cash equivalents: Rs 525 mn (down from Rs 1,111 mn YoY)
- Consolidated cash & cash equivalents: Rs 2,251 mn (up from Rs 1,111 mn YoY)
- Liquidity: Net cash from operating activities improved; however, cash generation remains modest relative to the size of the balance sheet.
2. Financial Performance
| Metric | Standalone | Consolidated |
|---|---|---|
| Revenue (FY) | Rs 72,735 mn | Rs 116,227 mn |
| Net Profit (FY) | Rs 4,478 mn | Rs 7,011 mn |
| Total Assets | Rs 81,956 mn | Rs 115,900 mn |
| Total Equity | Rs 42,355 mn | Rs 65,044 mn |
| Debt (Non‑current + Current) | Rs 27,600 mn | Rs 32,389 mn |
| Cash & Cash Equivalents (EoY) | Rs 525 mn | Rs 2,251 mn |
- Revenue Growth Drivers: Significant expansion in the USA (₹11,772 mn) and Thailand (₹28,676 mn) segments.
- Profitability: Consolidated profit margin improved to ~6% despite higher finance costs.
- EPS Growth: EPS more than doubled on a standalone basis, reflecting the profit uplift and stable share capital.
3. Dividend Proposal
The board has recommended a final dividend of Rs 2 per share, subject to shareholder approval at the upcoming AGM. This represents a 100% payout of the face value and aligns with the company’s policy of returning cash to shareholders after meeting liquidity needs.
4. Cash Flow Overview
- Operating Activities: Net cash generated increased to Rs 3,363 mn (standalone) and Rs 7,451 mn (consolidated).
- Investing Activities: Net cash outflow of Rs 8,576 mn (standalone) and Rs 11,280 mn (consolidated) mainly due to higher capex.
- Financing Activities: Net cash inflow of Rs 5,717 mn (standalone) and Rs 4,969 mn (consolidated) driven by new borrowings offset by dividend payments.
- Liquidity Concern: Despite operating cash generation, the standalone cash balance is low, indicating reliance on financing.
5. Balance Sheet Highlights
- Equity Strength: Equity rose 9% YoY, supporting a stronger capital base.
- Leverage: Total borrowings increased to Rs 27.6 bn (standalone) and Rs 32.4 bn (consolidated). Debt‑to‑equity ratios are now roughly 0.65 (standalone) and 0.50 (consolidated).
- Asset Base: Non‑current assets grew 16% YoY, reflecting capex in plant & equipment and intangible assets.
6. Segment Performance
| Region | FY 2026 Revenue (₹ Lakhs) | FY 2025 Revenue (₹ Lakhs) |
|---|---|---|
| India | 63,611 | 57,566 |
| Thailand | 28,676 | 23,296 |
| USA | 11,772 | 2,293 |
| Rest of World | 11,591 | 10,370 |
The USA segment showed a >400% YoY surge, indicating successful market penetration.
7. Outlook & Risks
Opportunities
- Continued revenue expansion in high‑growth markets (USA, Thailand).
- Strong EPS trajectory and dividend payout enhance shareholder appeal.
- Improved equity base provides scope for further strategic investments.
Risks
- Liquidity Pressure: Low cash balances and higher borrowings may constrain future capex or dividend sustainability.
- Working‑Capital Volatility: Large swings in inventories and trade receivables observed.
- Interest Rate Sensitivity: Rising finance costs could erode margins if debt levels remain high.
- Regulatory Compliance: Ongoing adherence to SEBI LODR; any deviation could affect market perception.
8. Conclusion
Rajratan Global Wire Ltd. delivered solid top‑line growth and a notable jump in earnings per share, underpinning a moderately positive outlook. The proposed Rs 2 final dividend adds immediate shareholder value, but investors should monitor cash generation and leverage trends closely.