Rolex Rings Ltd. share price target

Q1FY27 Results: Rolex Rings (Rolex) posted a healthy set of financials for the quarter. Revenue, EBITDA and PAT grew by 4%, 12% and 22% for the quarter. The revenue growth was majorly led by strong growth in the exports of auto components which grew by 30% YoY to Rs 1.18bn. The rest of the sub segments registered a decline in revenue on YoY basis primarily impacted by labour shortage in the quarter which is seasonal in nature. Strong Demand Outlook for Auto Components: Volumes from...

Rolex Rings (Rolex) exhibited a soft performance in Q4FY26 impacted by one offs. Margins came in at 18.4% lower than the usual run rate of 20-21% owing to one time legal cost of Rs 60 mn towards the ROR settlement and ~ Rs 220 mn of elevated US customs duty which could be recovered in the subsequent quarters. The management is positive on the growth in domestic bearing rings as import substitutes are being manufactured in India. Demand from the industrial and the large bearings side continues to be subdued particularly on the exports front. Most of the customers have accepted the 25% tariff rate in the US and...

Rolex Rings (Rolex) exhibited a soft performance in Q3FY26. The ambiguity regarding US tariffs impacted the auto components segment particularly on the exports front. Exports revenue for automotive components declined by 16% YoY respectively owing to lower off take amid tariff related uncertainties. The recently concluded US India Trade Deal is a significant positive for Rolex since the US contributes 1/3rd of revenue in the pre- tariff era. Although the fine print of the deal will give more clarity, we believe the deal will give significant impetus to US exports. Bearing rings is also expected to register healthy growth...

Rolex Rings (Rolex) exhibited an improved performance in Q1FY26. The slowdown in their main segment of bearings is particularly impacting performance. Exports revenue for bearing rings and automotive components declined 21% and 15% YoY respectively owing to lower off take amid tariff related uncertainties. An important aspect to note is that of an audit qualification with qualified opinion of Rs2,278.6mn from the banks for Right to Recompense (RoR) against which the company has provided Rs506mn till date. The company has secured legal opinion and there remains a probability of...

Rolex Rings (Rolex) exhibited below expected performance in Q4FY25. The slowdown in their main segment of bearings is particularly impacting performance. The major MNC clients in the bearings segment are going slow on their capex plans which has impacted demand. An important aspect to note is that of an audit qualification with qualified opinion of Rs 2,278.6 mn from the banks for Right to Recompense against which the company has provided Rs 506 mn till date. The company has secured legal opinion and there remains a probability of further impact to the P&L on account of any adverse...

Rolex Rings has posted superior financial performance over last three years reducing debt by ~247Cr (50%), led by strong free cash flow generation of ~420cr FY18-20. It delivered attractive return ratios driven by high margins. Company further intends to reduce its power and fuel cost by increasing captive power capacity by 16MW. Against these backdrops, post IPO...

10 each, (Comprising of fresh issue of 622,222 Equity Total Public Shares* (Rs. 56 cr.) and Offer for Sale of 7,500,000 Equity Shares (Rs. 453.6 cr.*) by Selling Shareholder)....

10 each, (Comprising of fresh issue of 622,222 Equity Total Public Shares* (Rs. 56 cr.) and Offer for Sale of 7,500,000 Equity Shares (Rs. 453.6 cr.*) by Selling Shareholder)....

Rolex Rings Limited IPO Note Issue Open: July 28 July 30 2021 Price Band: Rs. 880 900 *Issue Size: 8,122,222 eq shares (Fresh Issue of Rs.56 cr + Offer for sale of 7,500,000 eq sh) Issue Size: Rs.716-731.0 cr Reservation for: QIB Upto 50% eq sh Non Institutional atleast 15% eq sh Retail atleast 35% eq sh

Rolex Rings (RRL), one of the top five forging companies in India, commenced operations in 1988 with their first manufacturing plant in Rajkot. The company manufactures and supplies hot rolled forged bearing rings, automotive components (including EVs) for segments of vehicles including 2-W, PV, CV, industrial machinery, wind turbines & railway among other segments. The client base of RRL consists of leading global bearing manufacturers viz. SKF, Timken, Schaeffler, NEI & NRB Bearings. RRL has three manufacturing units in Rajkot consisting of 22 forging lines with a...

Rolex Rings Ltd. is one of the five largest forgings companies in India in terms of installed capacity and is a key supplier of bearing rings catering to leading bearing manufacturers in India. It has a comprehensive product portfolio and supplies bearing rings and automotive components for vehicles, industrial machinery, wind turbines and railways, etc.

IPO NOTE