Usha Martin (517146) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 consolidated revenue grew 6.6% year-on-year to INR 917 crore (Rs. 91,705 lakhs), led by strong wire and wire rope segments and improved product mix.

• Operating EBITDA rose 23.3% year-on-year to INR 176 crore, with margins improving to 19.2% from 16.6% last year.

• Net profit for Q3 FY26 increased to INR 108 crore (Rs. 10,767 lakhs), despite a one-time wage code cost.

• Operating cash flow before tax was INR 561 crore, with a 114% EBITDA-to-cash conversion.

• Net cash position at quarter-end was INR 198 crore, reflecting robust balance sheet and financial discipline.

Financial highlights

• Q3 FY26 consolidated net revenue: INR 917 crore (up from INR 861 crore in Q3 FY25).

• Wire segment revenue up 20.2% year-on-year; wire rope segment up 6.6%; LRPC segment down 13%.

• Nine-month FY26 revenue: INR 2,712 crore, up 5.2% year-on-year; nine-month EBITDA: INR 494 crore.

• Free cash flow for nine months: INR 318 crore; gross debt reduced from INR 338 crore to INR 172 crore.

• Q2 FY26 PAT included a one-time income of Rs. 15 crore from property sale.

Outlook and guidance

• Expecting volume growth from new product categories and geographies, with double-digit revenue growth anticipated in FY27.

• CapEx at Ranchi plant stabilizing; healthy order book and ongoing customer approvals support future growth.

• EBITDA for FY26 projected in the INR 680–700 crore range, with margins maintained at 19–20%.

• Management remains confident in legal position despite ongoing proceedings.