EL7.AI
StocksMedium•22 October 2026•
2 min read

Rajratan shares fall 10.53% as margins shrink despite higher sales volumes

Key Facts

1Rajratan shares fell 10.53%, according to an Investing report published on October 22, 2026.
2Quarterly revenue stood at 370.83 crore Indian rupees, according to Business Standard.
3Consolidated sales volume rose 17% to 38,605 metric tons, compared with 32,887 tons in the corresponding period.
4The earnings before interest, taxes, depreciation and amortization margin fell to 12.35%, down 125 basis points year on year.
5Management expected to complete the Chennai plant expansion to 60,000 tons annually in the third quarter of fiscal 2027.

Rajratan Global Wire shares fell 10.53%, according to a report published by Investing on October 22, 2026, as higher sales volumes coincided with a contraction in the company's profit margin. The results cover the second quarter of fiscal 2026–2027, according to a results summary published by Business Standard. Quarterly revenue stood at 370.83 crore Indian rupees, the newspaper reported. The company recorded net profit of 24.14 crore Indian rupees for the same period. Operating profit stood at 45.79 crore Indian rupees, according to the quarterly figures reported by Business Standard.

On the operational front, consolidated sales volume rose 17% year on year, according to Investing. Volumes sold reached 38,605 metric tons, compared with 32,887 metric tons in the corresponding period of the previous fiscal year. However, the earnings before interest, taxes, depreciation and amortization margin fell to 12.35%, down 125 basis points year on year. The website quoted Chairman Sunil Chordia as describing the business environment as facing "competitive and pricing pressures." Management also cited disruption to shipping routes caused by Middle East tensions among the operational pressures, according to the same report.

Results for the first half of fiscal 2026–2027 showed revenue rising 27% year on year, according to Investing. Profit rose 38% over the same half compared with the corresponding period of the previous fiscal year. By country, the earnings call summary published by the website reported a 22% year-on-year increase in volumes at the Thailand operations in the first half of fiscal 2027. Volumes at the India operations grew 14% in the first half of the same fiscal year. Thailand's operations thus recorded faster volume growth than the Indian operations during the period, based on a comparison of the two percentages cited in the call summary.

Rajratan manufactures tire bead wire, according to the description of its business on its website. Its production base spans India and Thailand, with the website listing combined capacity of 192,000 tons annually. On financing, the earnings call summary published by Investing reported a debt-to-equity ratio of 0.6 times. The company's production plans include expanding its Chennai plant to a target capacity of 60,000 tons annually, according to management comments reported by the website. Management expected to complete the expansion in the third quarter of fiscal 2027.