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Raj Rayon Industries Q2 FY27 results: net profit up 186.7% to ₹22.99 crore, revenue up 43.0%
Raj Rayon Industries Limited reported standalone Q2 FY27 revenue of ₹456.47 crore, up 43.0% from Q2 FY26, with EBITDA of ₹32.82 crore and a net profit of ₹22.99 crore. Basic EPS was ₹0.41, compared with ₹0.28 in the year-ago quarter, while the investor presentation linked the recovery to higher volumes after the Q1 debottlenecking shutdown.
Key points
- Revenue was ₹456.47 crore in Q2 FY27, up 43.0% from ₹319.32 crore in Q2 FY26 and 123.3% from ₹204.46 crore in Q1 FY27.
- EBITDA was ₹32.82 crore at a 7.2% margin, compared with ₹15.58 crore and 4.9% in Q2 FY26.
- Net profit was ₹22.99 crore, up 186.7% from ₹8.02 crore in Q2 FY26 and 235.1% from ₹6.86 crore in Q1 FY27.
- Basic EPS was ₹0.41, compared with ₹0.28 in Q2 FY26 and ₹0.12 in Q1 FY27.
- H1 FY27 revenue was ₹660.93 crore and net profit was ₹29.85 crore, compared with ₹579.51 crore and ₹14.09 crore in H1 FY26.
How did Raj Rayon Industries perform in Q2 FY27?
Raj Rayon Industries reported standalone revenue of ₹456.47 crore in Q2 FY27, up ₹137.15 crore or 43.0% from ₹319.32 crore in Q2 FY26. Against Q1 FY27, revenue rose ₹252.01 crore or 123.3% from ₹204.46 crore. Total income was ₹457.91 crore, against ₹322.37 crore a year earlier and ₹205.46 crore in the previous quarter.
EBITDA rose to ₹32.82 crore from ₹15.58 crore in Q2 FY26 and ₹17.27 crore in Q1 FY27. The margin was 7.2%, compared with 4.9% a year earlier and 8.4% in the previous quarter, an increase of 2.3 percentage points year on year and a decline of 1.2 percentage points sequentially.
Profit before tax was ₹24.16 crore, against ₹9.92 crore in Q2 FY26 and ₹8.07 crore in Q1 FY27. The company reported a net profit of ₹22.99 crore, compared with ₹8.02 crore and ₹6.86 crore, respectively, while basic EPS was ₹0.41 against ₹0.28 and ₹0.12. No consolidated figures were given.
| ₹ crore | Q2 FY27 | Q1 FY27 | Q2 FY26 | YoY | QoQ |
|---|---|---|---|---|---|
| Revenue from operations | 456.47 | 204.46 | 319.32 | +43.0% | +123.3% |
| Other income | 1.44 | 1 | 3.05 | −52.8% | +44.0% |
| Total expenses | 433.75 | 197.39 | 312.45 | +38.8% | +119.7% |
| EBITDA | 32.82 | 17.27 | 15.58 | +110.7% | +90.0% |
| EBITDA margin | 7.2% | 8.4% | 4.9% | +2.3 pp | −1.2 pp |
| Profit before tax | 24.16 | 8.07 | 9.92 | +143.5% | +199.4% |
| Tax | 1.17 | 1.21 | 1.90 | −38.4% | −3.3% |
| Net profit | 22.99 | 6.86 | 8.02 | +186.7% | +235.1% |
| EPS (₹) | 0.41 | 0.12 | 0.28 | +46.4% | +241.7% |
EBITDA here is revenue from operations less operating costs (total expenses excluding finance costs and depreciation): before other income and exceptional items. Growth is shown only when both figures are positive. Source: Company's results filing (XBRL).
What changed in Raj Rayon Industries' costs and profit?
Total expenses were ₹433.75 crore in Q2 FY27, up ₹121.30 crore or 38.8% from ₹312.45 crore in Q2 FY26 and ₹236.36 crore or 119.7% from ₹197.39 crore in Q1 FY27. Cost of materials was ₹363.64 crore, up ₹119.59 crore or 49.0% year on year and ₹225.60 crore or 163.4% sequentially.
Other expenses were ₹51.46 crore, up ₹10.01 crore or 24.1% from ₹41.45 crore in Q2 FY26 and ₹20.65 crore or 67.0% from Q1 FY27. Employee cost rose ₹0.69 crore or 17.5% year on year, finance costs rose ₹0.74 crore or 17.5%, and depreciation rose ₹0.64 crore or 14.3%.
Other income fell to ₹1.44 crore from ₹3.05 crore in Q2 FY26, a decline of ₹1.61 crore or 52.8%, while tax fell to ₹1.17 crore from ₹1.90 crore, a decline of ₹0.73 crore or 38.4%. There was no exceptional item in either quarter. Management attributed the operating recovery to higher volumes after the Q1 debottlenecking shutdown.
| ₹ crore | Q2 FY27 | Q2 FY26 | Change | Change % |
|---|---|---|---|---|
| Cost of materials | 363.64 | 244.05 | +119.59 | +49.0% |
| Employee cost | 4.63 | 3.94 | +0.69 | +17.5% |
| Finance costs | 4.97 | 4.23 | +0.74 | +17.5% |
| Depreciation | 5.13 | 4.49 | +0.64 | +14.3% |
| Other expenses | 51.46 | 41.45 | +10.01 | +24.1% |
| Total expenses | 433.75 | 312.45 | +121.30 | +38.8% |
| Other income | 1.44 | 3.05 | −1.61 | −52.8% |
| Tax | 1.17 | 1.90 | −0.73 | −38.4% |
Source: Company's results filing (XBRL).
How did the first half of FY27 go?
In the first half of FY27, Raj Rayon Industries reported revenue of ₹660.93 crore, up ₹81.42 crore or 14.0% from ₹579.51 crore in H1 FY26. Total income rose 13.8% to ₹663.37 crore from ₹582.77 crore, while basic EPS increased to ₹0.54 from ₹0.50.
Profit before tax increased to ₹32.23 crore from ₹17.36 crore, a rise of ₹14.87 crore or 85.7%. Net profit rose to ₹29.85 crore from ₹14.09 crore, up ₹15.76 crore or 111.9%. Management said a 46-day shutdown for debottlenecking reduced first-half production by 15% and sales by 14%.
| ₹ crore | H1 FY27 | H1 FY26 | Change |
|---|---|---|---|
| Revenue from operations | 660.93 | 579.51 | +14.0% |
| Profit before tax | 32.23 | 17.36 | +85.7% |
| Net profit | 29.85 | 14.09 | +111.9% |
| EPS (₹) | 0.54 | 0.50 | +8.0% |
Source: Company's results filing (XBRL).
What do the balance sheet and cash flow show?
Total assets were ₹685.20 crore on 30 September 2026, compared with ₹598.30 crore on 31 March 2026. Total equity increased to ₹186.33 crore from ₹156.47 crore, while borrowings fell to ₹209.36 crore from ₹222.49 crore. Cash and cash equivalents declined to ₹1.56 crore from ₹12.42 crore.
Inventories were ₹113.41 crore, compared with ₹118.10 crore at the previous balance-sheet date, and trade receivables increased to ₹48.38 crore from ₹30.20 crore. H1 FY27 operating cash flow was ₹92.24 crore, compared with ₹82.56 crore in H1 FY26; investing cash flow was an outflow of ₹81.98 crore against ₹29.14 crore, and financing cash flow was an outflow of ₹21.12 crore against ₹38.47 crore.
| ₹ crore | As of 30 September 2026 | As of 31 March 2026 |
|---|---|---|
| Total assets | 685.20 | 598.30 |
| Total equity | 186.33 | 156.47 |
| Borrowings | 209.36 | 222.49 |
| Cash and equivalents | 1.56 | 12.42 |
| Inventories | 113.41 | 118.10 |
| Trade receivables | 48.38 | 30.20 |
Source: Company's results filing (XBRL).
| ₹ crore | H1 FY27 | H1 FY26 |
|---|---|---|
| Cash from operations | 92.24 | 82.56 |
| Cash from investing | −81.98 | −29.14 |
| Cash from financing | −21.12 | −38.47 |
| Capital expenditure | 8.04 | 29.06 |
Source: Company's results filing (XBRL).
How has Raj Rayon Industries done over the last 8 quarters?
Revenue reached ₹456.47 crore in Q2 FY27, the highest of the last eight quarters shown, after falling to ₹204.46 crore in Q1 FY27. The previous peak was ₹319.32 crore in Q2 FY26, while the lowest was ₹205.85 crore in Q4 FY25.
Net profit was ₹22.99 crore in Q2 FY27, compared with its lowest level of ₹5.87 crore in Q3 FY26 and its prior peak of ₹14.03 crore in Q4 FY26. The EBITDA margin was 7.2%, above the 4.9% low in Q2 FY26 but below the 8.4% peak in Q1 FY27. Profit rose year on year in each of the last three quarters.
What else did the company announce?
The board approved the unaudited financial results for the quarter and half year ended 30 September 2026, together with the cash flow statement and statement of assets and liabilities, on 3 November 2026. The results had also been reviewed by the audit committee and the statutory auditors.
The company filed its investor presentation for the results on 4 November 2026. The same-day filings did not announce a dividend or fund raise, and no appointment was reported.
What did Raj Rayon Industries' management say?
Management said, “For H2FY27, we expect volumes to increase as compared to H1FY27, helped by the larger capacity.” The presentation identified higher volumes, specialty-yarn mix, forward integration into fabrics and recycled polyester yarn, deleveraging and a negative working-capital cycle as the main priorities.
Management said the 10 TPD fabric line is set to commence in Q3 FY27 and ramp up in Q4, with plans to scale fabrics to 25 TPD next year and 100 TPD over the next two to three years. It also presented a ₹650 crore Phase II brownfield expansion for 300 TPD of polyester yarn and 50 TPD of recycled polyester yarn over the next two years.
Management said full capacity commissioning is targeted for CY2028, with FY29 expected to be the first full year of full commercialisation. It said peak revenue potential is ₹2,700–₹3,000 crore per annum, with value-added, specialty and sustainable products expected to contribute about 80% of revenue at peak utilisation.
Management said profitability remains exposed to PTA and MEG prices, which represent approximately 81% of raw-material cost and are linked to crude oil through PX and naphtha. It expects prices to moderate over the coming quarters, while noting that India’s PTA supply deficit is met through imports from more than 10 international suppliers. No analysts’ questions were included.
How did Raj Rayon Industries shares react?
The stock was up 1.7% after 5 minutes, 15 minutes and 30 minutes from the price when the filing appeared. It closed the reaction day 1.9% above its previous close, while the median move for the industry’s other stocks was 0.0%.
By the next day’s close, the stock was up 3.9% from its pre-results close, compared with a 1.4% median move for the industry’s other stocks. The excess industry move was 2.5 percentage points. The stock had previously risen on seven of the eight listed results days, including 2.0% on 3 August 2026 and 0.2% on 14 May 2026.
| After the filing | Stock | Other Textile Products median |
|---|---|---|
| 5 minutes | +1.7% | |
| 15 minutes | +1.7% | |
| 30 minutes | +1.7% | |
| Reaction day | +1.9% | +0.0% |
| Next day | +3.9% | +1.4% |
Minutes are measured from the price when the filing appeared; days from the previous close. Source: MarketPing price-reaction measurement.
| Results filed on | Stock on the reaction day |
|---|---|
| 3 August 2026 | +2.0% |
| 14 May 2026 | +0.2% |
| 6 February 2026 | +2.0% |
| 13 November 2025 | +1.9% |
| 5 August 2025 | +2.0% |
| 29 May 2025 | +1.7% |
| 11 February 2025 | +2.0% |
| 14 November 2024 | −2.0% |
Source: MarketPing price-reaction measurement.
How did other Other Textile Products companies do?
Among 61 Other Textile Products companies compared for the quarter, the median revenue growth was 22.4%. Forty-six peers grew more slowly than Raj Rayon Industries, while 15 grew faster than the company.
Profit was reported as higher by 43 of the 64 peers for which profit was compared. The peer revenue-growth median was below Raj Rayon Industries’ 43.0% year-on-year growth in Q2 FY27.
| Raj Rayon Industries revenue growth (YoY) | +43.0% |
|---|---|
| Median of 61 other Other Textile Products companies | +22.4% |
| Companies with slower revenue growth than Raj Rayon Industries | 46 of 61 |
| Companies with faster revenue growth than Raj Rayon Industries | 15 of 61 |
| Companies whose net profit rose | 43 of 64 |
Source: Filed results (XBRL) of the industry's companies.
Quick answers
What was Raj Rayon Industries' revenue in Q2 FY27?
Revenue from operations was ₹456.47 crore, up 43.0% from ₹319.32 crore in Q2 FY26 (standalone).
Did Raj Rayon Industries make a profit in Q2 FY27?
Yes. Net profit was ₹22.99 crore, against a net profit of ₹8.02 crore in Q2 FY26.
What was Raj Rayon Industries' EPS in Q2 FY27?
Basic earnings per share were ₹0.41, against ₹0.28 in Q2 FY26.
How did Raj Rayon Industries shares react to the Q2 FY27 results?
On the reaction day the stock moved +1.9% from the previous close; the median Other Textile Products stock moved +0.0%.
When did Raj Rayon Industries announce its Q2 FY27 results?
On 3 November 2026, in a filing to the BSE.
Sources
- Board Meeting Intimation for Un Audited Financial Results/Statements Of The Company For The Second Quarter And Half Year Ended September 30, 2026. (BSE, 26 October 2026) · PDF
- Board Meeting Outcome for Outcome Of Board Meeting 03.11.2026 (BSE, 3 November 2026) · PDF
- Uaudited Result For Quarter And Half Year Ended 30.09.2026 (BSE, 3 November 2026) · PDF
- The investor presentation (4 November 2026)
How this was written: every figure in the tables and charts is calculated from the company’s filed results (XBRL) and MarketPing’s price measurements. The text is drafted with AI from those figures and the filings, and a checker removes any sentence carrying a number it cannot trace to them. How we write these.
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