Announced Fri, 6 Jun · 18:52 IST

Transcript of the Earnings Call related to the audited financial results for the quarter and financial year ended March 31, 2025

Mgmt Guided Margin ImprovementMgmt Guided Margin PressureAnalyst Day Multiyear TargetsMgmt Evaded Key QuestionInvestor Communications View source PDF

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Rathi Steel & Power reported FY25 revenue of Rs. 503.15 crores (up marginally from Rs. 493.19 crores in FY24) with EBITDA margin expanding slightly to 4.38% and PAT at Rs. 13.95 crores (vs Rs. 23.53 crores in FY24, which included a Rs. 19.80 crore one-time exceptional item). Q4 FY25 showed strong growth with revenue up 26% YoY to Rs. 149.5 crores and EBITDA doubling to Rs. 7.90 crores, margin improving 194 bps to 5.28%. Management highlighted the recommencement of the idle TMT bar mill (1 lakh ton capacity, currently at 25-30% utilization, targeting 60-70% by FY27) which could add ~Rs. 150 crores in revenue this fiscal at 30-35% utilization. The steel melting shop, operating at 60%, was temporarily shut for refurbishment in April 2025 and is targeted to reach 75-80% utilization.

Likely market impact

Positive near-term sentiment as the TMT bar restart provides incremental revenue growth and better utilization of idle assets. However, lingering concerns remain around Chinese steel dumping, soft domestic steel prices, and historically volatile PAT due to past debt restructuring items.