Rane (Madras) Ltd Q2 Net Profit Surges 33% on Strong Domestic and Export Demand

Rane (Madras) Limited, a leading manufacturer of steering and suspension systems and other auto components, reported a robust performance for the second quarter (Q2 FY26), driven by higher volumes across domestic and international markets.

The company’s consolidated net profit rose 33.2% year-on-year to ₹21.5 crore in Q2 FY26, compared to ₹16.1 crore in the same quarter last year.

Total revenue grew 8.4% YoY to ₹923.4 crore, up from ₹851.8 crore in Q2 FY25, aided by increased demand from original equipment manufacturers (OEMs) and aftermarket customers.

Segment Highlights

• Domestic OEM sales grew 6%, supported by strong offtake in the passenger vehicle and farm tractor segments.

• International sales increased 10%, driven by robust demand for steering products.

• Indian aftermarket sales jumped 17% YoY, though the company noted that these figures are not strictly comparable due to the restructuring of the Group’s aftermarket business last year.

The company stated that while new U.S. tariffs did not impact sales during the quarter, certain light metal casting export programs saw lower offtake. RML said it continues to monitor the evolving trade policy environment, expressing optimism that ongoing diplomatic dialogues will bring greater clarity and stability.

EBITDA grew 10.6% YoY to ₹82.9 crore (Q2 FY25: ₹74.9 crore). EBITDA margin improved to 9.0%, compared to 8.8% a year earlier, reflecting better absorption of fixed costs and operational efficiency.

The company attributed its margin gains to improved product mix and cost optimization initiatives.

Company management said the quarter reflected steady growth momentum across key markets despite ongoing macroeconomic headwinds. Continued recovery in the domestic auto sector, especially in passenger and farm segments, supported volume expansion.

RML said it remains focused on strengthening its export business and expanding capacity in key product lines to meet increasing global demand. The company is also keeping a close watch on global trade developments and supply chain trends but expects demand to remain steady in both domestic and export markets in the second half of FY26.

RML continues to emphasize product innovation and customer diversification as part of its long-term growth strategy.

Rane (Madras) Limited (RML) is part of the Chennai-headquartered Rane Group, one of India’s leading auto component conglomerates. The company supplies steering and suspension systems, brake components, engine parts, and light metal castings to major OEMs and aftermarket customers globally. Its products cater to passenger vehicles, commercial vehicles, farm tractors, two-wheelers, three-wheelers, railways, and stationary engines.