Rane (Madras)'s Q2 FY 2025-26 Quarterly Results

Result Summary

• Rane (Madras) Ltd reported a 4.4% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 74.0%.
• Its expenses for the quarter were up by 3.9% QoQ and 68.3% YoY.
• The net profit increased 15.9% QoQ and decreased 3257.4% YoY.
• The earnings per share (EPS) of Rane (Madras) Ltd stood at 7.77 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Rane (Madras) Ltd is a prominent player in the automotive industry, primarily engaged in the manufacturing and supply of high-quality automotive components. The company's product portfolio includes steering and suspension systems, which are critical components for a range of vehicles, including passenger cars, commercial vehicles, and farm tractors. Rane (Madras) Ltd has established a reputation for innovation and reliability in the automotive sector, serving both domestic and international markets. The company operates in a highly competitive environment, with a focus on maintaining operational efficiency and product excellence. There are no recent major developments available from the provided data.

Revenue

In the second quarter of the fiscal year 2026, Rane (Madras) Ltd reported a total income of ₹923.40 crores. This represents a quarter-over-quarter increase of 4.4% from ₹884.40 crores in Q1FY26. On a year-over-year basis, total income surged by 74.0% from ₹530.69 crores in Q2FY25. The substantial year-over-year growth in revenue indicates a significant improvement in the company's sales performance compared to the previous year. The revenue figures reflect the company's ability to capture market opportunities and potentially expand its market share in the automotive components sector.

Profitability

Rane (Madras) Ltd's profitability metrics for Q2FY26 show a positive trajectory. The company achieved a profit before tax of ₹29.68 crores, marking a 19.8% increase from ₹24.78 crores in Q1FY26. Compared to Q2FY25, profit before tax rose dramatically by 7510.3% from ₹0.39 crores. After accounting for taxes of ₹8.21 crores, the profit after tax for Q2FY26 stands at ₹21.47 crores, up 15.9% from ₹18.53 crores in the previous quarter. Year-over-year, the profit after tax shows a substantial recovery from a loss of ₹0.68 crores in Q2FY25. Earnings per share (EPS) also improved, reaching ₹7.77 in Q2FY26, compared to ₹6.70 in Q1FY26 and a negative ₹0.42 in Q2FY25. These figures demonstrate a robust recovery and an improvement in the company's bottom line.

Operating Metrics

The financial data for Rane (Madras) Ltd reveals important operating metrics that highlight the company's operational efficiency. Total expenses for Q2FY26 amounted to ₹892.13 crores, which is a 3.9% increase from ₹858.61 crores in Q1FY26. On a year-over-year basis, total expenses increased by 68.3% from ₹530.20 crores in Q2FY25. The company's ability to manage its expenses while achieving significant revenue growth is evident from the data. The effective tax rate for Q2FY26 was calculated at approximately 27.7%, based on the provided profit before tax and tax figures. This compares to an effective tax rate of 25.2% in Q1FY26 and a much higher rate when compared to the previous year's corresponding quarter due to the minimal profits in Q2FY25. These metrics provide insight into the company's operational strategy and its ability to maintain cost control in a growing revenue environment.