Texmaco Rail shares decline 4% as Q1 profit growth halves; details here

Texmaco Rail shares fell 4 per cent after its profit growth nearly halved in the June quarter, while revenue declined over 15 per cent

Shares of Texmaco Rail & Engineering fell over 4 per cent after the company's profit growth nearly halved in the first quarter of the financial year 2026 (Q1FY26). 

 

The industrial products maker's stock fell as much as 4.5 per cent during the day to ₹134.6 per share, the biggest intraday fall since June 19 this year. The stock pared losses to trade 4.2 per cent lower at ₹133.5 apiece, compared to a 0.06 per cent advance in Nifty 50 as of 12:03 PM. 

 

Shares of the company snapped a three-day decline and currently trade at over 2.5 times the average 30-day trading volume, according to Bloomberg. The counter has fallen 30 per cent this year, compared to a 4.2 per cent advance in the benchmark Nifty 50. Texmaco Rail has a total market capitalisation of ₹5,368.84 crore.   Track LIVE Stock Market Updates Here

Texmaco Rail Q1 results 

The company posted a sharp drop in consolidated net profit to ₹29.99 crore in the first quarter of fiscal 2026, from ₹59.83 crore in the same period last year.

 

Revenue from operations declined 16.32 per cent year-on-year (Y-o-Y) to ₹910.60 crore in the quarter ended 30 June 2025. Total expenses fell 13.58 per cent to ₹881.26 crore, with employee costs rising 11.85 per cent to ₹44.64 crore, while other expenses declined 17.12 per cent to ₹30.77 crore.

 

Ebitda for the quarter stood at ₹79 crore, translating into a margin of 8.7 per cent. As of 30 June 2025, the company’s order book was valued at ₹7,053 crore. 

Texmaco Rail Q1 management commentary 

While the June quarter saw a decline in revenue primarily due to the short supply of wagon wheelsets from Indian Railways, these issues have since been resolved, Indrajit Mookerjee, executive director and vice chairman at Texmaco Rail. "Our strong order book and ongoing projects across rolling stock, traction, and international markets give us confidence in our growth trajectory."

 

On the international front, we secured one of the largest export contracts ever by an Indian Freight Rolling Stock company and a 20-year maintenance contract in Africa, Sudipta Mukherjee, managing director at Texmaco Rail, said. "Expanding our global footprint, we continue to have a focus on extended reach in exports & maintain our leadership in the domestic market." 

About Texmaco Rail

Texmaco Rail, a listed entity under the Adventz Group, is a prominent player in India's railway and infrastructure sector. The company operates through three core business segments: Freight Cars, InfraRail & Green Energy, and InfraElectrical. 

 

The company specialises in manufacturing rolling stock, locomotive components, hydro-mechanical equipment, railway infrastructure, bridges, and steel structures. It is also a leading supplier of freight cars to Indian Railways.