Ram Ratna Wires shares jumps 12% after announcing its Q3 results; Check details

Synopsis: In Q3FY26, the wire manufacturer reported robust performance, with revenue surging 43 percent YoY and profit rising 77 percent. EBITDA margins expanded by 120 bps, driven by strong demand for copper tubes. The company’s marquee client base includes leading players such as Daikin and Panasonic.

A small cap company in the business of manufacturing winding wires announced its Q3FY26 result which stated a 77 percent YoY profit growth along with expansion in the EBITDA margin. The company is South Asia’s second-largest winding wire manufacturer and India’s only enameled copper wire maker offering the widest product range.

With a market cap of Rs 3,028 Cr, Ram Ratna Wires Ltd saw its stock hit an intraday high of Rs 332 which is 12 percent higher than the previous close of Rs 296. The company stock has given a compounded return of 55 percent in the last three years.

The Q3FY26 Result

In the latest quarterly result the company has seen its revenue from operations increase by 43 percent YoY, from Rs 889 Cr in Q3FY25 to Rs 1,278 Cr in Q3FY26, while the QoQ increased by 10 percent from Rs 1,163 Cr. The net profits grew by 77 percent going from Rs 18 Cr in Q3FY25 to Rs 32 Cr in Q3FY26, while the QoQ increased by 45 percent from Q2FY26’s Rs 22 Cr. The company also saw its EBITDA margins expand by 120 bp on YoY basis, with the current margins at 5.6 percent.

In 9M numbers of the fiscal year, the company saw its revenue from operations increase by 26 percent YoY, from Rs 2720 Cr in 9MFY25 to Rs 3423 Cr in 9MFY26. The net profits for the same period grew by 35 percent going from Rs 51 Cr to Rs 69 Cr.

The company has a 3 year sales CAGR of 24 percent, while the TTM is at 17 percent. The company’s 3 year profit CAGR is at 9 percent, while the TTM number is at 31 percent. The company also has a ROCE of 20 percent and a ROE of 15 percent.

Revenue Mix

In Q3 FY26, the business’s enameled wires and strips contributed 71 percent of Q3 FY26 revenue, down from 82 percent in Q3 FY25. The share of copper tubes and pipes increased to 27 percent from 17 percent, indicating diversification, while the others segment rose slightly to 2 percent.

By business segments, Ram Ratna Wires Ltd continued to derive most of its revenue from the domestic market, contributing 92 percent, while exports accounted for 8 percent. This reflects a stable geographical mix, with only a marginal shift from Q3 FY25, when domestic and export shares stood at 93 percent and 7 percent respectively.

Managing Directors’s Commentary 

The company reported another strong quarter, driven by rising copper tube demand from the growing HVAC industry. This segment’s revenue contribution jumped from 17 percent last year to 27 percent this quarter.

This drives profitability and highlights the company’s focus on increasing domestic production and lowering dependence on imports. The MD also stated that in order to further strengthen this segment, work on Inner Grooved Tube (IGT) manufacturing is underway and currently being assessed.

Business Overview

Ram Ratna Wires Ltd is a leading manufacturer of enamelled copper wires and winding wires, catering to electrical, electronics, automotive, HVAC, and transformer industries. Its clientele includes Daikin, Panasonic, Bosch, Mitsubishi, Havells, Carrier, LG, Voltas, Godrej, Amber, EPACK, Blue Star, Reliance, Kirloskar, and Delhi Metro, reflecting strong industry acceptance and trust.

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