Texmaco Rail Q2 FY27 Results (NSE: TEXRAIL)
Signal: Revenue declined
The read
The operating trajectory remains fragile: consolidated revenue recovered 66.3% QoQ to ₹1,25,809.91 lakh but declined 22.6% YoY, EBITDA margin compressed to 4.01% from approximately 10.0% a year earlier, and the ₹16,111.69 lakh PAT was primarily an exceptional-item outcome rather than a core earnings inflection.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,258.1 Cr | -22.6% | +66.3% |
| EBIT | ₹49.06 Cr | -50.8% | |
| Net profit | ₹161.12 Cr | +152.0% | |
| EPS | ₹3.97 | +145.1% | |
| EBIT margin | 4.01% |
P&L walk
Revenue recovered to ₹1,25,809.91 lakh, +66.3% QoQ but -22.6% YoY, while EBITDA fell to ₹5,044.32 lakh and margin compressed to 4.01%; reported PAT of ₹16,111.69 lakh was dominated by the ₹7,601.26 lakh exceptional gain.
Segments
Freight Car Division remained the largest revenue contributor at ₹94,247.12 lakh and generated ₹3,755.71 lakh of segment result, while the ₹8,032.41 lakh Others result materially lifted the consolidated segment outcome; Infra-Rail & Green Energy contributed only ₹291.89 lakh and Real Estate lost ₹11.50 lakh.
Key positives
- Consolidated revenue rebounded to ₹1,25,809.91 lakh, +66.3% QoQ from ₹75,668.00 lakh, indicating a sharp sequential recovery in execution after the weak Q1 base.
- Finance cost declined 16.9% YoY to ₹2,508.17 lakh, providing some support to pre-tax operating earnings.
- Infra - Electrical segment revenue was ₹24,044.02 lakh and segment result was ₹1,846.44 lakh, while Infra - Rail & Green Energy returned to a ₹291.89 lakh profit from a year-ago loss of ₹295.70 lakh.
- Consolidated asset growth was accompanied by higher CWIP of ₹19,320.92 lakh versus ₹16,468.03 lakh at year-end, supporting future capacity and capability expansion.
Key concerns
- Consolidated EBITDA fell 44.4% YoY to ₹5,044.32 lakh and EBITDA margin contracted to 4.01% from approximately 10.5% a year ago, despite the 22.6% revenue decline.
- Standalone PAT fell 41.6% YoY to ₹3,612.48 lakh and standalone revenue declined 31.3% YoY to ₹86,310.26 lakh, showing that the parent business remains under pressure.
- Operating cash flow was negative at ₹6,616.15 lakh in H1FY27 despite reported consolidated profit, signalling working-capital absorption and weak cash conversion.
- Revenue remained 22.6% below the year-ago level, and the filing provides no volume, order-book or capacity-utilisation data to establish that the sequential recovery is durable.
Research and educational content only. Not investment advice.