Conference Call with Texmaco Rail & Engineering Management and Analysts on Q4FY26 & Full Year Performance and Outlook. Listen to the full earnings transcript.
Construction & Engineering company Texmaco Rail & Engineering announced Q4FY26 & FY26 results Consolidated Financial Highlights: Revenue from Operations: For Q4FY26, the company reported Revenue from Operations of Rs 1,167 crore, representing a growth of 12.00% QoQ from Rs 1,042 crore in Q3FY26, and a decline of 13.30% YoY compared to Rs 1,346 crore in Q4FY25. For the full year FY26, Revenue from Operations stood at Rs 4,377 crore, a decline of 14.30% YoY from Rs 5,107 crore in FY25. EBITDA: EBITDA for Q4FY26 was Rs 116 crore with a margin of 10.0%, compared to Rs 109 crore in Q3FY26 (up 6.42% QoQ) and Rs 118 crore in Q4FY25 (down 1.69% YoY). For the full year FY26, EBITDA was Rs 450 crore with a margin of 10.3%, compared to Rs 548 crore in FY25, representing a YoY decline of 17.88%. Profit After Tax (PAT): The company posted a Net Profit of Rs 57.7 crore for Q4FY26, showing an increase of 37.38% QoQ from Rs 42 crore in Q3FY26 and a growth of 45.10% YoY from Rs 39.8 crore in Q4FY25. For the full year FY26, PAT stood at Rs 194 crore with a 4.4% margin, compared to Rs 249 crore in FY25, a YoY decline of 22.09%. Earnings Per Share (EPS): Basic and Diluted EPS for Q4FY26 was Rs 1.42 per share. For the full year FY26, Basic and Diluted EPS was Rs 4.84 per share. Balance Sheet and Debt: Net debt decreased to Rs 444 crore as of March 31, 2026. The Net Debt to Equity ratio improved to 0.18x in FY26 from 0.22x in FY25. Business Highlights: Order Book: The company maintains a strong order book of Rs 5,408 crore. The freight car order book mix has significantly shifted, with 79% now coming from the private sector and exports and 21% from Indian Railways. Freight Car Division: The division recorded sales of Rs 909 crore in Q4FY26 and Rs 3,419 crore for the full year FY26. Wagon deliveries reached 2,196 units in Q4FY26 and 8,372 units for the full year FY26. Steel Foundry: Foundry sales reached 8,964 MT in Q4FY26 and 34,301 MT for the full year FY26. Infra Segments: The Infra – Electrical (Bright Power) business grew by 66.1% YoY to revenues of Rs 610 crore, achieving an EBIT margin of 10.8%. The Infra – Rail & Green Energy (Kalindee) segment experienced lower revenues during the year. Strategic Developments: Formalization of a joint venture with Rail Vikas Nigam Limited (RVNL) to increase participation in rolling stock, rail EPC, and maintenance opportunities. Completion of hydro-mechanical systems for the 2,000 MW Subansiri Lower Hydroelectric Project. Launch of ‘Invariz,’ a Global Capability Centre (GCC) platform powered by ServiceNow for digital services and AI-led solutions. Acquisition of land at Kandla for the development of a new manufacturing facility, which will be the company’s 5th manufacturing location. Indrajit Mookerjee Executive Director & Vice Chairman, said: “For FY26, Texmaco reported Revenue from Operations of Rs 4,377 crore, a decline of 14.3% YoY, in a challenging market environment. From the profitability perspective, EBITDA for the year was Rs 450 crore, with an EBITDA margin of 10.3%, while Profit After Tax was Rs 194 crore, translating into a margin of 4.4%. Performance during the year was impacted by lower wagon production arising from continued supply chain issues and lower revenues in Infra – Rail and Green Energy (Kalindee). However, the Infra – Electrical (Bright Power) business has grown by 66.1% to Revenues of Rs 610 crore, with EBIT Margin of 10.8%. Overall, as of 31 March 2025, the order book was Rs 5,408 crore. Operationally, Texmaco delivered 2,196 Freight Cars during Q4FY26, while Foundry Division volumes totaled 8,964 MT. For the full year, Freight Car deliveries reached 8,372 units, and the Foundry Division achieved 34,301 MT in sales. The performance was impacted by global supply chain disruptions and US Tarriff impositions. A significant milestone during the quarter was the formalization of the joint venture with Rail Vikas Nigam Limited (RVNL), which is expected to increase the Company’s participation across rolling stock, rail EPC, maintenance and integrated rail infrastructure opportunities in Indian and international markets. The partnership combines Texmaco’s manufacturing capabilities with RVNL’s infrastructure execution expertise and supports the Company’s long-term growth strategy across the rail ecosystem. During the quarter, Texmaco also successfully completed the erection and commissioning of hydro mechanical systems for the 2,000 MW Subansiri Lower Hydroelectric Project. This reinforces the Company’s engineering and execution capabilities across large-scale infrastructure projects while also supporting India’s renewable energy initiatives. The broader sector environment continues to present long term opportunities, supported by sustained investments towards rolling stock modernization, railway electrification and network expansion. These developments are expected to support demand across Wagons, wheelsets, rail EPC and systems integration. With its diversified presence across wagon manufacturing, foundry products, rail infrastructure execution and engineering solutions, Texmaco remains strategically positioned to participate in the evolving opportunities across the railway and infrastructure sector.” Sudipta Mukherjee, Managing Director, said: “Q4FY26 was marked by strong operational performance, driven by disciplined execution and effective financial management, in alignment with our long-term strategic objectives. The company posted a net profit of ?57.7 crore for the quarter, up 45.1% from ?39.8 crore in the year-ago period. We continued to strengthen Texmaco’s position as an integrated provider of rail and infrastructure solutions, expanding our capabilities in manufacturing, engineering, rail systems, and technology-driven businesses. The Company maintained a strong focus on balance sheet management and cost optimization. Net debt decreased to Rs. 444 croreores, with the Net Debt to Equity ratio improving from 0.22x in FY25 to 0.21x in H1FY26, and further to 0.18x in FY26. Direct expenses decreased by 0.8% QoQ, showing the success of our efficiency initiatives. Texmaco made continued progress in its infrastructure and railway systems businesses, securing multiple orders in signaling, electrification, and maintenance projects. Additionally, we expanded our presence in Overhead Electrification (OHE) and power supply maintenance services, with a cumulative portfolio of 3,703 TKM. The Company also secured significant wagon orders from private sector customers, further strengthening its freight mobility business and execution pipeline. In line with our Vision 2030 roadmap, we are strengthening our core businesses while investing in emerging growth areas. Alongside wagons and rail infrastructure, we are scaling opportunities in railway signaling, safety systems such as Kavach, and power electronics and propulsion technologies. These sectors are important for modernizing India’s railway infrastructure and will drive future growth. We are also entering into Defence manufacturing and engineering value chain in collaboration with global technology providers. A key milestone this year has been the launch of ‘Invariz,’ our Global Capability Centre (GCC) platform powered by ServiceNow and integrated with AI capabilities. This marks Texmaco’s entry into global digital services and technology driven solutions. The GCC platform is now operational and is expected to drive both growth and operational efficiencies across our core businesses. Looking ahead, we remain confident in the opportunities before us. With a strong order book, improving execution capabilities, and a clear Vision 2030 roadmap, Texmaco is well positioned to create long-term value for all stakeholders.” Result PDF