RHI Magnesita India delivered impressive profit growth in the June quarter, with consolidated net profit rising 83.2% year-on-year to ₹64.6 crore. According to reports from CNBC TV18, this strong profit performance came despite modest revenue growth, with revenue from operations increasing 5.6% to ₹1,014 crore from ₹960.3 crore in the previous year. The company's EBITDA surged 34.7% to ₹137.6 crore from ₹102.1 crore, demonstrating effective cost management and operational efficiency improvements.
The company achieved significant margin expansion during the quarter, with EBITDA margin widening to 13.6% from 10.6% year-on-year. As reported by CNBC TV18, this improvement was driven by the company's ability to recover higher input costs and implement pricing strategies to offset inflationary pressures. Shipment volumes stood at 122 kilotonnes during the quarter, reflecting steady operational performance despite challenging market conditions.
According to CNBC TV18, RHI Magnesita India faces ongoing industry headwinds including pricing pressure and growing competition from global and regional players as companies expand facilities. The company also deals with higher raw-material, energy and logistics costs, while the cement industry continues to grow with capacity additions but faces margin pressure from elevated fuel and raw-material expenses. Chairman Parmod Sagar highlighted the company's 4PRO business model and customer-focused approach as key differentiators.
The company has made significant progress in operational efficiency and sustainability initiatives. As reported by CNBC TV18, energy consumption fell about 7% from the previous year, while carbon-dioxide emissions declined about 6%. RHI Magnesita India advanced its backward-integration efforts through quartzite mines and diversified energy sources to improve supply security. The company also introduced automated drying technology to enhance capacity, productivity and product quality.
The June quarter marked a significant leadership transition at RHI Magnesita India, with Pankaj Malhan taking over as managing director and chief executive, while Sagar continues as chairman. According to CNBC TV18, Malhan emphasized the company's ability to navigate global and domestic challenges and outlined plans to strengthen execution and leverage the 4PRO model for growth. The company also entered into a joint-venture agreement with Khemka Refractories Pvt. Ltd. to establish a refractory recycling facility in Odisha, near major steelmaking hubs.
