Texmaco Rail Q4 profit jumps 45%, margin expand; approves defence biz investment

Texmaco Rail & Engineering reported a mixed set of fourth-quarter earnings for FY26 on May 12, with higher profitability and margin expansion offset by a decline in revenue during the period.

The company posted a net profit of ₹57.7 crore for the quarter, up 45.1% from ₹39.8 crore in the year-ago period. EBITDA rose 9% year-on-year to ₹106.4 crore from ₹97.6 crore, while EBITDA margin improved to 9.1% from 7.3% a year earlier.

Revenue, however, declined 13.3% to ₹1,167 crore compared with ₹1,346.4 crore in the corresponding quarter last year.

The board recommended a dividend of ₹0.75 per equity share, or 75% of face value, for FY26, subject to shareholder approval at the upcoming annual general meeting.

Separately, the company approved plans to enter the defence business through its subsidiary, Texmaco Defence Technologies Ltd., with proposed investments of up to ₹200 crore over the next three to five years.

Texmaco Rail also entered into an agreement with Sigma Rail Systems Pvt. Ltd. for collaboration in railway signalling, safety systems, power electronics and related infrastructure support.

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Shares of Texmaco Rail & Engineering closed over 6% lower at ₹105.02 on the NSE ahead of the earnings announcement.

Texmaco Rail & Engineering is primarily engaged in manufacturing railway wagons, hydro-mechanical equipment, steel castings and infrastructure solutions for the rail and transport sectors.

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