RHI Magnesita Q2 profit jumps 62% to ₹62 crore

Research Analyst: UJVIN NEVATIA (PROPRIETOR: NEVAT INVESTMENTS) | SEBI Registration No.: INH100009628 RHI Magnesita India Limited ( RHIM ) reported a 62% year-on-year increase in consolidated net profit to ₹62.09 crore in Q2 FY27. Consolidated revenue remained almost flat at ₹1,038 crore. What happened? EBITDA: Increased 30% to ₹144 crore. EBITDA margin: Improved to 14% from 10.7% a year ago. Expenses: Declined to ₹953 crore from ₹985 crore. Shipment volume: Stood at 118 KT, down 16% year on year. The improvement in profitability was supported by better product mix, pricing discipline and operational efficiencies, particularly in the steel segment. The company also appointed Abhishek Bajaj as CFO and Chief Investor Relations Officer, effective January 1, 2027. Why does it matter? Despite almost flat revenue and lower shipment volumes, the company delivered higher EBITDA and profit. This indicates that improved margins, cost control and product mix played a bigger role than volume growth. My view The margin improvement is encouraging, especially in an inflationary environment. However, the decline in shipment volumes deserves attention. The challenge will be to maintain profitability while recovering volumes and sustaining demand across steel, cement and other industrial customers. What I am watching next I would track shipment volumes, product mix, raw material costs, operating margins and demand from the steel and cement industries. No Recommendations Source: Economic Times Disclosure: I, my entity, associates or relatives do not have any holding, position or other material interest in RHI Magnesita India Limited.