Rain Industries Q3 Revenue Up 23% YoY to ₹54.86B

Date: November 6, 2026

Q3 FY2026 Performance:

Revenue from operations: ₹54.86 billion Indian Rupees, representing a 23% year-on-year improvement
Adjusted EBITDA: ₹8.57 billion Indian Rupees, a 32% increase year-on-year
Adjusted profit after tax: ₹2.04 billion Indian Rupees
Earnings per share: ₹6.05 Rupees per share, a 77% increase compared with Q3 FY2025

Nine Months FY2026 Performance:

Adjusted EBITDA: ₹25.65 billion Rupees, approximately 51% higher than the ₹16.99 billion Rupees reported for same period of 2025

Segment Performance:

Carbon Segment:

Net revenue: ₹39.79 billion Rupees, increase of ₹7.11 billion (21.8% year-on-year)
Adjusted EBITDA: Increased by ₹2.03 billion (38% improvement year-on-year)
Adjusted EBITDA margin: Expanded to 18.7% from 16.5%
Performance driven by improved realizations in both Calcination and Distillation businesses
Lower Calcination volumes due to timing of shipments

Advanced Materials Segment:

Net revenue: ₹11.36 billion Rupees, increase of ₹2.45 billion (27.5% year-on-year)
Volumes: 76 thousand tons, modest increase compared to year ago
Adjusted EBITDA: Increased by ₹0.37 billion (42% improvement year-on-year)
Adjusted EBITDA margin: Improved to 11.1% from 10.0%
Growth driven by Chemical Intermediates business reflecting improved demand

Cement Segment:

Net revenue: ₹3.09 billion Rupees, 12.0% increase year-on-year
Volumes: 670 thousand tons, 11% increase from 603 thousand tons in same quarter last year
Adjusted EBITDA: Loss of ₹0.11 billion Rupees
Performance affected by elevated energy costs and higher freight costs on raw materials and finished cement

Currency Impact:

US Dollar appreciated against Indian Rupee by 9.5% during Q3 compared to same quarter last year
Euro appreciated against Indian Rupee by 7.8% during Q3 compared to same quarter last year

Safety Performance:

Year-to-date Total Recordable Incident Rate (TRIR) stood at 0.22 at end of Q3 2026
Target to return to TRIR at or below 0.15 by year-end (compared to 0.13 in 2024 and 0.11 in 2025)

Market Conditions:

Persistent conflicts in Persian Gulf and Ukraine continued to affect operations
Exceptionally dry summer in Europe raised logistics costs and constrained transport capacity
Elevated oil prices increased transportation fuel costs worldwide
Low water levels on European rivers constrained inland waterway network
Renewed inflationary pressure on certain raw materials as demand strengthened

Aluminum Industry Exposure:

Global aluminum industry represents approximately 50% of RAIN's revenue
Several smelting facilities in Middle East remain partially offline due to conflict impacts
Signs of accelerated ramp-up of idle smelting capacity in United States and Europe
Aluminum prices on LME remain near historical highs while inventories remain near historical lows

Debt and Liquidity Position:

Gross debt: $1.024 billion US dollars (includes $217 million working capital borrowings)
Net debt: $851 million US dollars
Net debt-to-EBITDA ratio: 2.53 times (based on last-twelve-months EBITDA of $337 million)
Cash position: $165 million US dollars
Undrawn revolving credit facility: $180 million US dollars
Total liquidity: $345 million US dollars
No major term debt maturities until October 2028

Working Capital:

Working capital deployed: Increased from $493 million at beginning of year to $588 million at end of Q3
Increase primarily related to higher inventory levels including prudent safety stock
Moderate working capital release expected in current quarter through year-end

Cash Flow:

Operating cash inflows: ₹14.9 billion Indian Rupees
Investing cash outflows: ₹0.7 billion Rupees (maintenance capex of ₹4.4 billion partly offset by ₹3.6 billion net maturities and interest income)
Financing cash outflows: ₹8.7 billion Rupees (includes prepayment of €32 million of Term Loan B in Germany)

Capital expenditure and plant turnaround spending: $46 million US dollars for first nine months of 2026
Cement expansion project in State of Telangana deferred until pricing improves sufficiently to recover higher energy and freight costs

Refinancing Plans:

New Growth Initiatives:

Investing in new-generation product portfolio for battery anode and energy storage applications
Joint development agreements with Northern Graphite and Green Graphite Technologies
Partnership with major global producer of mesophase carbon micro-beads for battery industry
Utilizing proprietary LIONCOAT® carbon-coating technology
Development anchored at Technology Innovation Center in Hamilton, Canada

Expect continued challenging conditions through Q4 due to geopolitical factors
Focus on margin recovery, cost optimization, operational discipline, working capital normalization
Priority on strengthening balance sheet and reducing interest costs
Cautiously optimistic about long-term positioning despite near-term uncertainties