Titagarh Rail Systems Ltd.'s consolidated net profit was down 54% in the first quarter of the current financial year as wagon dispatches fell on account of lower supply of wheelsets from Rail Wheel Factory.
The railway parts manufacturer posted a bottom line of Rs 30.86 crore in the June quarter as compared to Rs 67.01 crore in the year-ago period, according to an exchange filing on Monday.
Titagarh Rail Systems Q1FY26 Highlights (Consolidated, YoY)
Revenue down 24.8% to Rs 679.30 crore versus Rs 903.05 crore.
Net Profit down 54% to Rs 30.86 crore versus Rs 67.01 crore.
Ebitda down 26% to Rs 75.10 crore versus Rs 101.83 crore.
Margin at 11.1% versus 11.3%.
The firm's wagon dispatches were at 1,628 in quarter ended June, according to a press release from the company. This compares to 2,455 wagons in the previous quarter and 2,073 wagons in the first quarter of the last fiscal. The firm reported that this production hiccup has now been normalised.
"The company however continued to maintain its leadership position during the quarter having delivered the highest number of wagons to the Indian railway system," the release said.
The company also added that it was confident of recovering the loss of production in the first quarter of fiscal 2026 in the balance quarters. It further added that it will be in line with 9,431 wagons delivered in financial year 2025.
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Titagarh Rail Systems Orders
The company, in the first quarter, received new orders worth Rs 2,092 crore excluding GST, taking the overall order book to Rs 26,000 crore. The total order book of FRS stands at Rs 4,114 crore representing 10,772 wagons.
The total order book for the Metro Coach SBU now stands at Rs 3,100 crore, covering 441 coaches. In addition, the total order book of Vande Bharat trains (supply portion) amounts to Rs 9,600 crore, representing 1,280 coaches, out of which the company's share of the consortium was 51% amounting to Rs 4,943 crore.
During the period, the company also secured new orders for supply of 273 traction motors to Indian Railways.
Shares of Titagarh Rail Systems closed 3.34% lower at Rs 776.15 apiece on the NSE, compared to a 0.91% rise in the benchmark Nifty. The stock has fallen 46.42% in the last 12 months and 29.75% on a year-to-date basis.
Out of eight analysts tracking the company, seven have a 'buy' rating on the stock and one recommends 'hold', according to Bloomberg data. The average of 12-month analysts' price target implies a potential upside of 43.7%.
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