Ram Ratna Wires announced a recommended dividend of ₹2.50 per share and a 1:1 bonus issue. The company reported strong growth for FY26 with revenue up 40% and PAT up 50%. A new Bhiwadi facility was commissioned to boost copper tube production.
Ram Ratna Wires FY26 Performance and Growth Initiatives
Recommended Dividend: ₹2.50 per share (50%)
Bonus Issue: 1:1 (December 2025)
What just happened
Ram Ratna Wires reported robust financial results for the fiscal year 2025-26. Standalone revenue surged by 40% to ₹5,076 crore from ₹3,623 crore in the previous year, while Profit After Tax (PAT) grew by 50% to ₹108 crore from ₹72 crore. Consolidated revenue increased by 41% to ₹5,177 crore, and consolidated PAT jumped 56% to ₹109 crore.
Why this matters
This performance indicates strong operational execution and market demand. The commissioning of the Bhiwadi manufacturing facility in June 2025 is a significant step towards expanding capacity, particularly in the copper tubes segment, supporting import substitution. The company also recommended a dividend of ₹2.50 per share and approved a 1:1 bonus issue, signaling confidence in its future profitability and cash flows.
The backstory
The company has been focusing on expanding its product portfolio and manufacturing capabilities. The Bhiwadi facility's commissioning marks a strategic expansion. Additionally, the Board approved capital expenditure of ₹86 crore for enhancing facilities at Silvassa.
What changes now
The new Bhiwadi capacity is expected to bolster the copper tubes segment. The bonus issue, subject to shareholder approval, will increase the number of outstanding shares, potentially improving liquidity. The recommended dividend provides a direct return to shareholders.
Risks to watch
The company faces a tax demand of ₹68 crore (plus ₹31 crore interest) for assessment years 2021-2022 to 2024-2025, which is currently under appeal. Management expects a favorable outcome, but this is a key point to monitor. Fluctuations in copper and aluminium prices are managed through hedging strategies.
Peer comparison
While specific peer performance data for FY26 is not detailed in the filing, Ram Ratna Wires' growth rates in revenue and PAT suggest competitive performance in the wires and cables industry.
Context metrics (time-bound)
Standalone Revenue FY26: ₹5,076 crore (vs ₹3,623 crore FY25)
Standalone PAT FY26: ₹108 crore (vs ₹72 crore FY25)
Consolidated Revenue FY26: ₹5,177 crore (vs ₹3,677 crore FY25)
Consolidated PAT FY26: ₹109 crore (vs ₹70 crore FY25)
New Bhiwadi Facility Commissioned: June 2025
Bonus Issue Expected: December 2025
What to track next
Investors should watch the progress of the tax litigation, the ramp-up and utilization of the new Bhiwadi and Silvassa capacities, and future dividend and bonus issue details.
Reader Takeaway: Strong revenue and profit growth with new capacity; monitor tax litigation and capacity ramp-up.