NRB Bearings Ltd

Financial Performance

• Consolidated revenue INR370 cr in Q1 FY27 vs INR310 cr year-ago; +19.2%.
• Consolidated PAT INR38 cr vs INR33 cr; +15% YoY.
• Standalone sales up 14.7% YoY; Standalone PAT up 31.7% YoY; Standalone EBITDA +21.7% YoY.

Operational Update

• Six hi-tech mobility adjacencies identified; markets USD10-14B each.
• GM Corvette order: NRB USA to supply high-precision planet pins; first US plant win.
• Trailing 12-month revenue growth 14.38%; path to INR2,730 cr by FY31.
• Industrial bearings now 14% of total revenue; industrial growth 34%.
• EV-agnostic strategy; BMW i steering launch in 2027 across ICE, hybrid, and e-line.

Projects and Capex

• Unitec JV capex INR110 cr; turnover potential INR130 cr; plant commissioned by Apr-2027.
• Location moved from Hyderabad to Aurangabad; logistics/cost considerations cited.
• Total capex program INR270 cr; INR60 cr spent; ~INR100 cr ordered/in-process; INR110 cr remaining.
• Aurangabad land purchased with partly ready facility.

Q&A Highlights

• FY27 momentum: management cites trailing 12-month growth 14.38%; no firm FY27 target given.
• Defense/Aerospace: projected INR300 cr revenue and INR90 cr profit by 2031.
• Lifetime nominations: INR800 cr baseline moved to INR1,100 cr; Make in USA Corvette noted.
• Capex timing: capex plan ~INR270 cr; 60 cr spent; 100 cr ordered/in-process; 110 cr remains.
• Margins: long-term 18–20% range; not quarterly-driven; trajectory depends on cost dynamics.

Event overview

• Release of pledged NRB Bearings shares by promoter Harshbeena Sahney Zaveri on 11-08-2026.
• Encumbrance reduced from 65,00,254 shares (6.71%) to 53,00,254 shares (5.47%).
• Entity in whose favor shares were encumbered: Tata Capital Limited.
• Reason for encumbrance: pre-payment of loan and release of pledged shares.
• Promoter holding: 41.47%; post-release encumbered holding: 5.47%.

Financial Performance

• Consolidated revenue for Q1 FY27: INR370 crores, up 19.2% from Q1 FY26.
• Consolidated PAT rose to INR38 crores, up 15% YoY.
• Standalone revenue up 14.7% YoY; standalone PAT up 31.7%; standalone EBITDA up 21.7%.
• Industrial bearings share is 14% of total revenue.
• Industrial segment grew 34% YoY.
• Past 12-month revenue growth at 14.38%, implying INR2,730 crores by 2031.
• Aspirational revenue target by 2031 is INR3,000 crores.

Capex and Projects

• Total capex planned for FY27 is INR270 crores; INR60 crores spent to date.
• Approximately INR100 crores more is ordered or in process.
• Unitec capex investment: INR110 crores; turnover INR110 crores; capacity INR130 crores.
• Unitec plant commissioning by April 2027.
• Unitec location moved from Hyderabad to Aurangabad.
• Aurangabad land purchased; partial readiness.
• Defense/aerospace: projected INR300 crores revenue and INR90 crores PAT by 2031.
• Defense orders in hand total around INR50 crores (MTR INR30 crores; NRB INR20 crores).
• Lifetime nominated business moved to INR1,100 crores from INR800 crores.

Guidance and Outlook

• 12-month revenue growth of 14.38% implies INR2,730 crores by 2031.
• Aspirational revenue target for 2031 is INR3,000 crores.
• Plant commissioning by 2027 supports growth plan.

Q&A Highlights

• FY27 growth momentum discussed; 12-month CAGR 14.38%, guiding toward INR2,730 crores by 2031.
• Unitec JV: Aurangabad location; plant commissioning by April 2027.
• Industrial share at 14%; potential to 20–25%, not quantified.
• Total defense in hand about INR50 crores; MTR INR30 crores; NRB INR20 crores.
• Margin trajectory guided to 18–20% annually, not quarterly.
• Top Mahant Tools talent retained; integration strengthens aerospace leadership.
• Aurangabad land purchased; partial readiness for capex.

Risks and Watchpoints

• Other expenses rose by INR10 crores this quarter due to electricity, logistics, and petroleum costs.
• Cost pressures addressed via VAVE and price increases.
• War-related logistics concerns influenced Unitec site relocation to Aurangabad.

Encumbrance release details

• Target Company: NRB Bearings Limited.
• Disclosing Party: Harshbeena Sahney Zaveri (Promoter group).
• Transaction Type: Release of pledged equity shares (encumbrance release).
• Pre-Transaction Voting Rights: 3,36,90,631 shares (34.76%).
• Pre-Transaction Encumbrances: 65,00,254 shares (6.71%).
• Pre-Transaction Total: 4,01,90,885 shares (41.47%).
• Shares Released: 12,00,000; 1.24% of total.
• Instrument: Equity shares; Mode: Release of encumbrance.
• Post-Transaction Voting Rights: 3,48,90,631 shares (36%).
• Post-Transaction Encumbrances: 53,00,254 shares (5.47%).
• Post-Transaction Total: 4,01,90,885 shares (41.47%).
• Date of Transaction: August 11, 2026.
• Equity share capital before/after: 96,922,600 shares of Rs 2 each.
• Total diluted share capital after: 96,922,600 shares.

Meeting Details

• Date: August 10, 2026.
• Event: NRB Bearings Limited Q1FY2026-27 Earnings Call.
• Organiser: NRB Bearings Limited.

Participants

• Key company participant: Company Secretary & Compliance Officer.

Purpose

• Purpose: discuss Q1FY2026-27 earnings with investors.

Additional Notes

• Audio recording of the earnings call is available on the company website.
• Transcript will be shared with stock exchanges and uploaded on the website in due course.

Financial results approved

• Unaudited standalone and consolidated results for quarter ended 30 June 2026 approved; Limited Review Reports enclosed.
• Annexure A with disclosures under Regulation 30 and Schedule III enclosed.

Guarantee and financing actions

• Corporate guarantee up to Rs 50 crore for NRB Unitec Friction Solutions in favour of HSBC Bank.

Subsidiaries and equity transactions

• Conversion of Rs 715 lakh ICD into 2,409 MTRPL shares at Rs 29,688 per share.
• Additional equity investment of Rs 3,050 lakh in MTRPL to discharge balance.
• Transfer of 2,500 NRB Unitec Friction Solutions shares (25%) to Unitec S.r.l.; completion pending.
• Formation of NRB Unitec Friction Solutions Private Limited; 30 June 2026, wholly owned.
• Completion date for MTRPL acquisition fixed at 10 July 2026; not yet completed.

Regulatory / exceptional items

• Waluj fire claim: Rs 621 lakh disbursed; Rs 265 lakh received in Q1 2026 as exceptional gain.
• Statutory impact of new labour codes recognized: gratuity Rs 1,018 lakh; long-term absences Rs 306 lakh.

Debt / Trustee Update

• Board approves Rs 50 Crores guarantee for NRB Unitec Friction Solutions Private Limited to HSBC Bank.

Rating Action Details

• Total bank loan facilities rated: Rs 500 crore.
• Long-term rating: CRISIL AA-/Stable (Reaffirmed).
• Short-term rating: CRISIL A1+ (Reaffirmed).
• Rating agency: CRISIL Ratings Limited.
• Outlook: Stable for the long-term rating.

AGM Details

• AGM held on 29 July 2026 at 3:00 PM via VC/OAVM.
• Record date for voting: 24 July 2026; shareholders on record: 66,945.

Key Resolutions

• Resolution 1 (Ordinary): Receive, consider and adopt Audited Standalone and Consolidated Financial Statements.
• Resolution 2 (Ordinary): Reappoint director Satish Rangani, retiring by rotation.
• Resolution 3 (Ordinary): Ratify remuneration of the Cost Auditor.
• Resolution 4 (Special): Approve loan, guarantee, or security under Section 185.

Voting Results

• Resolution 1 passed with requisite majority.
• Resolution 2 passed.
• Resolution 3 passed.
• Resolution 4 passed.

Director Changes

• Satish Rangani reappointed as director.

Auditor Appointments

• Remuneration of Cost Auditor ratified.