RITES (RITES) Q1 25/26 earnings summary

Executive summary

• Q1 FY26 results were flat, with a strong order book of INR 8,800–8,790 crores, including over 150 new or extended orders and robust consultancy growth.

• Interim dividend of ₹1.30 per share recommended, with a payout ratio of 94–95% for Q1 FY26.

• Board approved unaudited standalone and consolidated financial results for Q1 FY26.

• Over 150 new or extended orders added, maintaining a pace of one order per day.

• Received awards for excellence in railway design and innovation in rail electrification.

Financial highlights

• Consultancy revenue grew 6.9–7% year-over-year, driving an 8% increase in EBITDA.

• Consolidated PAT up 2.8% year-over-year to ₹90.89 crore; EBITDA and PBT up 7.6% and 3.8%.

• Consolidated operating revenue grew 0.8% year-over-year to ₹508 crore; standalone revenue at ₹455.73 crore.

• Cash balance stands at INR 800 crores, with client funds at INR 2,400 crores.

• Dividend payout ratio is maintained at around 94–95%, with quarterly dividends declared.

Outlook and guidance

• Revenue is expected to surpass last year's performance, with sequential uptick anticipated as execution accelerates.

• Annual EBITDA margin guidance is around 20%, and PAT margin around 15%.

• Export of locomotives to Mozambique commenced in Q2FY26; continued focus on securing at least one export order every quarter.

• Consultancy, export, and leasing are targeted to contribute at least 60% of revenue mix, with turnkey at about 30%.