Rico Auto Industries Ltd

Rico Auto Industries Limited - Trading Window closed from 1st October, 2026 till 48 hours after declaration of the financial results for the quarter and half year ended 30th September, 2026

AGM details

• Date/time/mode: 8 September 2026 at 12:00 Noon, via VC/OAVM.
• Record date: 1 September 2026.

Key resolutions and outcomes

• Resolution 1 (Ordinary): Adoption of standalone and consolidated financial statements; passed with ~99.44% in favour.
• Resolution 2 (Ordinary): Dividend of Rs 0.55 per equity share; passed with ~99.44% in favour.
• Resolution 3 (Ordinary): Re-appointment of Shri Samarth Kapur; passed.
• Resolution 4 (Special): Ratification of remuneration payable to Cost Auditors; passed.

AGM Details

• Date and time: 8 September 2026, 12:00 Noon.
• Mode: Video Conferencing/Other Audio Visual Means (VC/OAVM).
• Attendance via VC/OAVM: 109 members.

Resolutions Presented

• Adoption of audited standalone and consolidated financial statements (Ordinary).
• Dividend declaration at 55% (Re 0.55 per equity share) (Ordinary).
• Re-appointment of Samarth Kapur as Director (retiring by rotation) (Ordinary).
• Ratification of remuneration payable to Cost Auditors (Special Business; Ordinary Resolution).

Voting Status

• Voting results to be announced within two working days after the AGM.

Dividend

• Dividend proposed: 55% (Re 0.55 per equity share); total amount Rs 7.44 crore.

Director Changes

• Samarth Kapur to continue as Director; re-appointment after retirement by rotation.

Auditor Arrangements

• Remuneration payable to Cost Auditors to be ratified (Ordinary).

Clarification & Results

• Deficiencies due to technical fault while merging PDFs.
• Machine Readable Form and corrected Limited Review Report attached.
• Board approved standalone and consolidated results on 12 August 2026.
• Standalone Q1 2026 revenue from operations: Rs 511.35 cr.
• Standalone total income: Rs 592.07 cr.
• Consolidated Q1 2026 revenue: Rs 755.08 cr.
• Consolidated total income: Rs 757.93 cr.
• Standalone PAT: Rs 0.16 cr; Consolidated PAT: Rs -3.38 cr.

Financial Performance

• Q1 FY27 consolidated revenue: INR755 crores; Q1 FY26: INR543 crores.
• EBITDA: INR34.8 crores; EBITDA margin: 4.6%.
• PAT: loss INR3.4 crores vs INR16.7 crores profit in Q1 FY26.
• Aluminum casting: 89% of revenue; ferrous casting: 11%.
• Exports: ~15% of quarterly revenue.
• Other operating expenses up by ~INR24 crores; air freight ~INR13 crores.
• Air freight costs peak in Q2; normalization from Q3.
• Raw-material price settlement lag impact: ~INR10 crores in quarter.
• Hosur plant: commercial production expected September 2026.
• Railways/Defence: RDSO approvals progressing; supplies started.
• Outlook: target around INR3,000 crores this year; expect > INR3,200 crores in FY27.
• Margins are expected to improve; exit year near targeted full-year margins.

Operating Update & Segment Trends

• Aluminium casting remains the principal revenue driver (89%).
• Exports contributed roughly 15% of total revenue in the quarter.
• 55 new programs in launch phase; 28 launched and in ramp-up; 7–8 year life.
• Programs with Toyota, BMW, Ford; single-source supplier for these programs.
• Railways/Defense expansion supported by localization investments.

Projects & Capital Allocation

• Hosur facility progressing; commercial production planned Sep 2026.
• 54 projects in hand; near-term capex to be limited; stabilize assets.
• CNC machine tooling: selling externally; plan to deliver 100 machines this year.
• CNC revenue target: INR35–40 crores; not included in INR3,250 crores guidance.
• Haridwar land bank: INR10 crores receivable by 30 December; debt-repayment use.

Guidance & Outlook

• Revenue outlook unchanged; target around INR3,000 crores this year.
• Expected revenue > INR3,200 crores in FY27.
• Margins to improve; exiting the year near target margins through price revisions and efficiency.

Q&A Highlights

• Freight costs: air freight elevated; peak in Q2; pass-through negotiations ongoing.
• Aluminium price impact: material cost pressure; some recovery expected via pass-through.
• CNC machines: 100 units planned; revenue INR35–40 crores; not in current guidance.
• Land sale (Haridwar): INR10 crores expected by Dec; debt repayment use.
• Railways/Defense numbers to be shared; early-stage but positive trend observed.

Risks & Watchpoints

• Temporary nature of air freight costs; potential further spikes from global tensions.
• Raw-material pass-through depends on customer negotiations; timing varies by program.
• Aluminium price volatility; hedging exposure limited as per discussion.

Investor call recording

• Audio recording of the 14 August 2026 investor call released.

Investor Presentation

• Link to Investor Presentation Final 14.08.26 PDF provided.
• Presentation also available on the company website www.ricoauto.in.