Transrail Lighting Eyes Double-Digit Margin In FY26: CEO 'Confident' Of Beating 25% Revenue Target

Transrail Lighting, a key player in India's power transmission and distribution sector, expects strong revenue growth and double-digit Ebitda margins in FY26. According to Randeep Narang, Managing Director (MD) and Chief Executive Officer (CEO), the company is on track to surpass its 25% revenue growth target in FY26.

“If you see our guidance, in the first quarter we had said we would be between 11.5% to 12% (Ebitda margins) this year. This year, as I mentioned, 23% to 25% plus (revenue growth). We are hopeful we will beat our guidance of 25%,” he said during a conversation with NDTV Profit on Wednesday.

“H2 is always stronger than H1. We are looking at 20% to 25% revenue growth next year too,” he added. The company’s net debt currently stands at Rs 703 crore, up from Rs 613 crore in the previous quarter, primarily due to capex for brownfield expansions and a greenfield plant, according to Narang.

Responding to a question on the company’s debt ballooning to Rs 800-900 crore by the end of this financial year, Narang said almost 80% of the expenditure has already been completed. Hence, the increase would not be in the range mentioned, but it would only "be a marginal increase.”

Narang does not think the company will be affected by global headwinds following the US tariffs.

“We are not really big in the US. Our focus is principally on Africa. We are into Southeast Asia and SAARC. Therefore, our guidance remains. Our international order book will also grow based on the H2 numbers. So, the US does not impact us in any way,” he said.

Narang also spoke about the confusion over the company’s reported inclusion in the World Bank's list of ineligible firms and individuals. He said they had issued a formal clarification on Wednesday. The company featuring on the list was TARIL (Transformers and Rectifiers), and not TLL (Transrail Lighting).