{"id":176043,"date":"2026-01-22T13:54:55","date_gmt":"2026-01-22T18:54:55","guid":{"rendered":"https:\/\/alphastreet.com\/india\/rico-auto-industries-limited-ricoauto-q1-2026-earnings-call-transcript\/"},"modified":"2026-01-22T13:54:55","modified_gmt":"2026-01-22T18:54:55","slug":"rico-auto-industries-limited-ricoauto-q1-2026-earnings-call-transcript","status":"publish","type":"post","link":"https:\/\/alphastreet.com\/india\/rico-auto-industries-limited-ricoauto-q1-2026-earnings-call-transcript\/","title":{"rendered":"Rico Auto Industries Limited (RICOAUTO) Q1 2026 Earnings Call Transcript"},"content":{"rendered":"

Rico Auto Industries Limited (NSE: RICOAUTO) Q1 2026 Earnings Call dated Aug. 13, 2025<\/span><\/strong><\/p>\n

Corporate Participants:<\/h2>\n

Unidentified Speaker<\/strong><\/p>\n

Kaushalendra Verma<\/strong> \u2014 Whole-Time Director<\/em><\/p>\n

Arvind Kapur<\/strong> \u2014 Chief Executive Officer<\/em><\/p>\n

Rakesh Kumar Sharma<\/strong> \u2014 Chief Financial Officer<\/em><\/p>\n

Analysts:<\/h2>\n

Unidentified Participant<\/strong><\/p>\n

Hazel Rathod<\/strong> \u2014 Analyst<\/em><\/p>\n

Prafull Rai<\/strong> \u2014 Analyst<\/em><\/p>\n

Maitri Shah<\/strong> \u2014 Analyst<\/em><\/p>\n

Mohit Jangid<\/strong> \u2014 Analyst<\/em><\/p>\n

Akshay Verma<\/strong> \u2014 Analyst<\/em><\/p>\n

Pranav<\/strong> \u2014 Analyst<\/em><\/p>\n

Bhaskara<\/strong> \u2014 Analyst<\/em><\/p>\n

Maitri Shah<\/strong> \u2014 Analyst<\/em><\/p>\n

Presentation:<\/h2>\n

operator<\/strong><\/p>\n

Ladies and gentlemen, good day and welcome to ricoh Auto Industries Q1FY26 conference call. As a reminder, all participant clients will be in the listen only mode. And there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star and then zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Hazel Ratod. Thank you. And over to you, ma’.<\/p>\n

Hazel Rathod<\/strong> \u2014 Analyst<\/em><\/p>\n

Thank you. Good evening everyone and thank you for joining us for Eco Auto Industries Q1 FY26 earnings conference call. From the management, we have with us Mr. Arvind Kapoor, Chairman CEO and MD. Mr. Kaushlendra Varma, Executive Director. Mr. R.K. meghlani, Executive Director. Mr. Rakesh Sharma, Chief Financial Officer and Ms. Rujika Gupta, Company Secretary. I now request Mr. Kaushlendra Varna to take us to the key opening remarks. After which we can open the floor for the question and answer session. Thank you. And over to you, sir.<\/p>\n

Kaushalendra Verma<\/strong> \u2014 Whole-Time Director<\/em><\/p>\n

Thank you. Good evening all. This is Kaushalin Verma, Executive Director, Ricoh Auto Industries limited. I’m participating in this call from the Ricoh Corporate Office boardroom along with our Chairman and Main Director Mr. Arvind Kapoor. Good evening. Our CFO Rakesh Sharma.<\/p>\n

Arvind Kapur<\/strong> \u2014 Chief Executive Officer<\/em><\/p>\n

Good evening.<\/p>\n

Kaushalendra Verma<\/strong> \u2014 Whole-Time Director<\/em><\/p>\n

And our CF Ruchika Gupta along with other colleagues.<\/p>\n

Rakesh Kumar Sharma<\/strong> \u2014 Chief Financial Officer<\/em><\/p>\n

Good evening.<\/p>\n

Kaushalendra Verma<\/strong> \u2014 Whole-Time Director<\/em><\/p>\n

To start with, we have a very positive news from the market with respect to our GDP growth. IMF has raised India’s economic growth forecast to 6.4 for 2025 and 2026. Up from its earlier projection of 6.2 and 6.3 respectively. With this declaration, India retained its position as the world’s fastest growing economy. The revision is based on more favorable external environment and resultant domestic conditions. Whereas the Global growth projections to 3% in 2025 and 3.1% in 2026. RBI maintains the repo rate at 5.5%. And the retail inflation in India slipped to 1.5% in July 2025. The lowest since 2017.<\/p>\n

June 2017 and below the Reserve bank of India’s comfort band of 2 to 6%. China growth is still at maintained 4.6 in 2025 and 4.2 in 2026. Also, the US is expected to grow by 1.9% and 2% in 2025 and 2026 respectively. India’s contribution is about 18% of global growth which is more than the US contribution which is up around 11%. India UK trade agreement expected to significantly benefit the Indian automobile and auto components industry. With the tariff free access we are keeping a close watch on the US tariff issue and evaluating our position with respect to our customers.<\/p>\n

On regular basis we are able to conclude with our key customers in the US on the recent tariff implications and we are in constant touch with them on the progress which move forward on this tariff issue. This quarter we have done a revenue close to 543\/cr which is similar to the previous same quarter previous year. In spite of that there is a slow volume production at our OEMs including Maruti and Hero. But because of the larger share of business which we maintained we won in the last year we are able to maintain the same revenue.<\/p>\n

Our cost control efforts which we are doing since last couple of months has resulted into a much increase in the profitability this quarter and subsequently these efforts will result into the more profit and as our revenue goes up in the subsequent quarters. Just to give you a figure that if we talk about year over year performance the market has. Automotive market has degrowth by 3.5% but we have grown by 1.4%. If we talk about the four wheeler market then the four wheeler market has deground by 1.4% and whereas we have also driven by 1.9% but in the two wheeler we have grown 4.4% where the market has re grown by minus 6.5.<\/p>\n

The key products on which we have made the significant volume progress is on the alloy wheel and the EV and the hybrid components and the pump business which we are doing with our key customers. I would request Rakesh to take you on the financial numbers.<\/p>\n

Rakesh Kumar Sharma<\/strong> \u2014 Chief Financial Officer<\/em><\/p>\n

Yeah, this is Rakesh Sharma, Chief Financial Officer from Vico Auto. Regarding the numbers like Mr. Kaushalindu Verma has briefed you about the numbers. One significant part that is there is that our profitability has trebled as compared to the same quarter last year. So that is a very encouraging part and we are quite hopeful that this improvement in profits will continue. Yeah, especially on two fronts. One is that our utilization of especially the ferrous components is going to increase quarter on quarter and there we will be able to utilize our existing capacities which are available with us.<\/p>\n

So that will result in profitability improvement and along with that our efforts on cost front also are yielding results as costs have Come down, you would have noticed that our top line has maintained almost equivalent to previous quarter as well as same quarter last year also. But our profitability has increased. This is on these two fronts. So basically cost saving has also resulted in this. And so this way we are quite confident that our profitability should keep on increasing and we are in line with our target of achieving 12, 13% of EBITDA margins. So quarter on quarter this should keep on improving.<\/p>\n

That is, and apart from that the same thing is reflecting in our EPS Also, which is 1.24 this quarter as compared to 0.54 last quarter and 0.42 the same quarter last year. So that way this is all encouraging. And the revenue part also wherever some of our customers have de grown, but we have been able to push our growth through other products and other customers. So that is also encouraging. As far as Mr. Kaushalindra Varma has already spoken about US tariffs so there also we are keeping a constant touch with our customers and with some of the customers we have already settled in our favor as far as whatever has been finalized by us and whatever development happens in future also we will keep our contact with the customers and accordingly we are quite hopeful that there also we should be able to get amicable solution for the same.<\/p>\n

And I think now we should be open for queries.<\/p>\n

Questions and Answers:<\/h2>\n

operator<\/strong><\/p>\n

Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star then one on their touchstone phone. If you wish to remove yourself from the question queue, you may press Star and then two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. Again, participants, if you wish to register for a question, please press Star and then one.<\/p>\n

Arvind Kapur<\/strong><\/p>\n

While we’re waiting for the question. This is Arvind Kapoor and I’d like to add here that we have we did write to the Stock Exchange regarding our involvement in railways. The work has started and we started delivering indirectly at the moment. But we are also registering directly with the drdo, with the rdso and so there is a lot of progress that is taking place and I think railways will grow pretty fast now. And as far as the defense is concerned, we are delivering the shooting ranges that we had mentioned last time and we have a license for those and those get dispatched in batches of 25 or 30 or 10 or 15 depending on now because of the range the dispatches were stopped primarily because where they are to be kept, those places were flooded and so we could not deliver.<\/p>\n

We were not. We were asked not to deliver and. But we are collecting and we are manufacturing. I think next quarter onward we start delivering all the control they list to them also.<\/p>\n

operator<\/strong><\/p>\n

Thank you. A reminder to all the participants. You may press Star and one to ask a question. Our first question comes from the line of Praful Rai from Archaeof Partners. Please go ahead.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Yes sir. Hi, this is Praful. I have a few questions A On the margin side when we said the margins will increase to 13%. See what is the time frame you have in terms of margin getting to 13% in case can you give us some sequential update. That is one second question is on the revenue composition. Is the margin expansion happening because of increasing railway and defense work which is leading to a better margin? That is second question. And third is on the any outlook on the. On the. On the. On the growth side of it. Especially given that US tariff impact is there or not all auto components in some way or the other. So can you just throw light on these three, three or four things?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Okay. Regarding the projection of margins it is. We are hopeful that by the last quarter of this year we should be able to achieve these figures and in the at annual level also next year there definitely it will be there. But on quarterly level we should be able to achieve it by the end of the year. And whether these are coming from defence and railways. These are currently not coming out of railways and defence because our business is very less. Railway has just started so it is negligible right now. But both these sectors are good margin businesses that we’ll be getting.<\/p>\n

So in future this will definitely help us improve our margins. And regarding the US tariffs like we said that US tariffs there are one two factors that affect us. One is the demand for Indian products when tariffs go high. So one good part in our case is because we supply to OEMs only we are not there. In the aftermarket or general public market we are not there. So OEMs we are in constant touch and whatever was increased earlier for that we have already settled with the customers and they are varying the cost. And in future also we are keeping constant touch with the customers.<\/p>\n

Whatever developments happen, we are quite hopeful that we will be able to settle this amicably with our customers and should not impact us negatively.<\/p>\n

Prafull Rai<\/strong><\/p>\n

The development is on. Yes. Yeah. In terms of growth outlook that is one.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

If you have gone through our earnings release we are given our order book that is pending for execution is already more than thousand crore per annum at peak level. This Is the business that is already owned and we are every quarter we are adding to those businesses. So growth is going to be good. And as far as exporting is concerned or US tariffs on our growth. See we are quite hopeful that because we are keeping contact with our customers and they are assuring us that they will continue to buy from us because in our type of product it’s not easy to introduce new vendors.<\/p>\n

It’s a time taking proposition so it takes two to three years and lot of post and lot of testing etc. A lot of certifications are required to be there. So it’s a kind of hindrance for changing quite frequently the vendors. So that should go in our favor with our customers.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Yeah see that is to this RICO has been old established company so I don’t think we’ll have a problem in having some repo. My question was suppose we continue with this higher level of elevated tariff Given that our product is a critical product to what they do will you. Do you think we’ll be still able to get through some kind of reply through some channel or whatever?<\/p>\n

Arvind Kapur<\/strong><\/p>\n

This is Ivan Kapoor. We will also look at alternatives like to give an example the garment industry a lot of them have started setting up in Vietnam and other places so that the goods go from here to Vietnam as there is due to free and from there it is the repackaged and sold further. So we’ll also look at alternatives as to but we will not let our customers down and we will not let the business go. And the new businesses are at much better margin than before and one your question that the better margins going up is not because of defence at the moment or the railways.<\/p>\n

It is mainly because of the new products which have been introduced and also the cost cutting which has happened. And railways and defense once they Both cross about 100, 150 crores each they will contribute sizable to the profitability.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Also if sir, if I may be allowed can I ask one more question?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yes please.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Yeah see by Q4FY26 what proportion of our revenues are likely to come from defense and railways put together. At the moment these are many tender businesses so very difficult to predict. But this year I think we are estimating around 80 to 90 crores. That’s what we had budgeted and but these are little we are pushing a lot and let’s see what happens. And sir, next year will this number be much higher than this.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Next year we will be entrenched in the railways and our setup would be there and we’ll be utilizing the Current capacity as well. And next year hopefully we’ll be almost double of that. That’s.<\/p>\n

Prafull Rai<\/strong><\/p>\n

One question probably we didn’t get answered. The growth side of the one question probably as the overall growth. We said we have a thousand crore backlog. What it translates to the current year revenue, some kind of estimate which we may have.<\/p>\n

Arvind Kapur<\/strong><\/p>\n

Yeah, we have that estimate over 2600 every every quarter.<\/p>\n

Prafull Rai<\/strong><\/p>\n

This year we will add around.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yeah. And this year there’s an addition of 156 crores of the new businesses and next year the same business translates into 550 crores and the year after that is around 800 crores.<\/p>\n

Prafull Rai<\/strong><\/p>\n

And overall revenue achievement for the current is 20.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yeah, in 2526 we add 156 crores to production out of the new businesses. And okay, this is the business that we’ve declared. Having said that we are also picking up other businesses which are immediate for the two wheel industry and the other industry where we are taking largest share of the business and or we taking adjacent businesses. So that is also being added. But that has not been included in this. But this year Our estimate is 156 crores. The only issue that comes here is that our turnover would have been much higher had the magnet issue was not there.<\/p>\n

Maruti and others were to introduce many new vehicles which got delayed. Now they’ve been introduced and now hopefully those whatever goods that we had developed, they will go into, they’ll ramp up.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Faster and so this year as a whole we’ll end up doing 2600 kind of a revenue and next year we built on top of that.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

But unless something drastic happens, this is what the budget is and budget is based on the, the confirmation that we have from all the customers.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Okay sir, thanks. Attention. Lovely. Thanks a toss and congrats for great set of numbers.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Thank you. Thanks so much.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Before we take the next question, a reminder to all the participants. You may press star and one to ask a question. Our next question comes from the line of Maitri Shah from Sapphire Capital. Please go ahead.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Yeah. Hello, am I audible?<\/p>\n

operator<\/strong><\/p>\n

Yes ma’, am, you’re audible. Please go ahead.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Yeah, just one clarification for the new businesses top line that you mentioned, 156 crores, that is from Railways and defense, is that correct?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

No, no, no, no, no, no, no, no, no. What we’re declaring here is the business that we’ve already confirmed with our OEM partners India and overseas. These are the new business that we got for the auto parts, auto components.<\/p>\n

Maitri Shah<\/strong><\/p>\n

And what sort of revenues do we Expect from Defense and Railways for this year. FY26.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

I just mentioned that we are estimating around around 80 crore. And that’s what it all depends on. The 10 wants to pick up the material.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Okay. And the registration with the rds. So when do we expect that to happen?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

At that, I think by the third quarter I think we should manage to get our register for say for an rdso. You got to get almost any new product you develop that needs to be registered there. So we’d be registering ourselves again and again for the first product would be by the end of this, end of Q3, as you pick up new products, they will keep on getting a registration done.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Okay. Okay. And the last question was in the land monetization. Do we have any updates on that at the moment?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

See discussions keep on taking place. But if I tell you that till my shareholders don’t benefit by it, we are not going to monetize the land. I think there should be a significant benefit to our shareholders and that’s what we are working on at the moment. I did mention last time that there was a pittance that was being offered. The total saving would have been just about 400 crore or something. And savings after the shipping of equipment and everything. But we are looking for at least a thousand two hundred crore for our shareholders.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Yeah, that is it from my side. Thank you.<\/p>\n

operator<\/strong><\/p>\n

Thank you. A reminder to all the participants, if you wish to register for a question you may press N1. Now our next question comes from the line of Praful Rai from Arjeof Partners. Please go ahead.<\/p>\n

Prafull Rai<\/strong><\/p>\n

So thanks a ton for taking my call. Again, a question again. This 13% margin which you are talking hopefully we’ll be able to achieve in the quarter four now when the next year your railway scales up as we spoke of and some defense also happens, what will be the steady state margin we can end up having say in next two years because the composition is also getting better.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

They will add to it at the moment to predict how much would be the contribution. I think we need to wait and watch. And once we get into production and into mass volumes, that’s the time we’ll be able to tell you. Probably in the first quarter of next year. We’ll give you a good indication as to what the railways and the defense are going to add to the profitability.<\/p>\n

Prafull Rai<\/strong><\/p>\n

But at some blended levels that is little higher than what it is. Right. Our steady state margins.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

To give you a very broad picture. Railways and defence, the profitability is all 20 to 30%. That’s what the range that one works on because sometimes the payments get delayed. So that’s what the levels are now in that now we are also waiting and watching. And so once we get into it, start supplying we will be able to improve there. But having said that, let me tell you the new components, one of the reasons that the profitability is going up is also because of the introduction of the new components which are coming in. There are much better margins than the earlier components.<\/p>\n

So that is the other add on which is also there.<\/p>\n

Prafull Rai<\/strong><\/p>\n

Right. Thanks. Thanks a lot.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Participants, you may press Star and one to ask a question. A reminder to all the participants if you wish to register for a question, please press Star and one now our next question comes from the line of Mohit Changir from Inved Research. Please go ahead.<\/p>\n

Mohit Jangid<\/strong><\/p>\n

Yeah, hi sir. First of all congratulations on good set of numbers. So I had one question on the guidance that we are giving this year. So to do 26 crores of turnover, I think in the next three quarters we will have to achieve a revenue run rate of roughly 700 crores. So how confident are we on achieving these numbers and will it have any benefit to our EBITDA margins? Because operating leverage will also come into play.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

See if I tell you what has happened in the first quarter we actually are because of the magnet shortage and the introduction of the new component which did not come in because of the magnet shortage, we did lose about 30 crores of revenue. 30, 35 crores of revenue. And now the ramp up is starting to take place. And for the second quarter we are hoping that we will achieve the budgeted figures that we had. Now 2652 is the budget that we declared to our board and that’s what we are working on quarter by quarter. That’s the board is monitoring now all depends on the introduction of the component.<\/p>\n

We are ready, the development has taken place, we are ready for start of production. And if there is no hiccup as far as magnets are concerned or any other shortages created for the domestic market, we are fairly confident that we will be there. And at the moment in the first quarter we are 35 crores short and which we hopefully we will recover. We have picked up new orders around the same figure of around 25 crores which are an add on to whatever the other figures that we had given to you earlier. So if we lose something, we try to gain for somewhere else either by getting a larger share of the market and or new business, it can start immediately.<\/p>\n

Any new product to be developed, these products get developed for now the products which are being introduced this year were developed last year and the year before last year. So that’s how the productions are coming up now. And next year the add on is where the developments have already taken place. Samples have been submitted and the approvals have already come. And that’s why we are confident that next year there should be an additional 550 crore in the revenue. In the third year 2728 we are saying 800 crores. That is the some of the commodities. The development will start by the end of this year and by the in the first quarter next year.<\/p>\n

And the the peak revenue will come in in the year 2728. So that’s how the development is taking place.<\/p>\n

Mohit Jangid<\/strong><\/p>\n

Okay. And sir, what is the update on our fossil facility? Is it on time and want to say something?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yeah, our wholesale facility is well on time and the building is under construction as per the time plan. And we will do the first SOP from our wholesale facility in the Q1 of 2026 is as per plan.<\/p>\n

Mohit Jangid<\/strong><\/p>\n

Okay. And sir, in the earlier Congol we had guided for the capacity utilization in our foundry division to improve from 50% to 60 65% in gray iron and 6062 to 75% in aluminium. So what is the status on foundry utilization right now?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

It is absolutely as per the plan. In fact the. The. If you look at the orders that we got normally if I take you, if I give you the split of aluminum and iron that we have. Our aluminium business is around 85% and 50% is the iron business. And now the iron businesses go up to almost 24, 25% and alum business would be 75%. There’s no degrowth in the Arabian business that is also growing. But the share of business will change. And when we are touching 25% which is by next year, actually end of next year we will be almost 90% of utilization of our foundry which is going to be one of the best turnaround that we would have ever had.<\/p>\n

And that will have a major impact on the profitability.<\/p>\n

Mohit Jangid<\/strong><\/p>\n

Okay. Okay. And sir, I think you already touched upon the land sales. But what is the indicative number that we can expect from that? I think it was roughly thousand 2,500. Crores on land holder.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Can you just, can you repeat the question please?<\/p>\n

Mohit Jangid<\/strong><\/p>\n

I was asking any indicative number that we can get from that land sale which the company can realize.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

No, I indicated that till we make enough money for our shareholders we are not selling the land. And the last offer we had we were saving about 400 crores after the shifting and everything else required to be done. And we thought that was not adequate. It’s not worth the while to do it. And we are, our target is between thousand to twelve hundred crore probability that we should get on the sale of land.<\/p>\n

Mohit Jangid<\/strong><\/p>\n

Okay, that’s it. From my side.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Thank you.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Participants, if you wish to register for a question you may press star and one. Now a reminder to all the participants you may press star and then one to ask a question. Our next question comes from the line of Akshay Verma, an investor. Please go ahead.<\/p>\n

Akshay Verma<\/strong><\/p>\n

Hello. Am I audible?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yes.<\/p>\n

Akshay Verma<\/strong><\/p>\n

Yes. Thank you for the opportunity and congratulations on the good set of numbers. So my question is regarding the defense. So would you like to provide any guidance for the defense sector for the next quarter and for this year.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

This year see what the alternate the adjacent businesses that we are looking at that is Defense and railways. We are targeting a figure of about around 80 crore. That’s what we have included in our this year’s sale and we are hoping to achieve that.<\/p>\n

Akshay Verma<\/strong><\/p>\n

Okay, great, great. And also regarding the capacity utilization. So for the FY26 is it like expected to rise to around 60 to 65% in green?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yeah, 60 to 65% by the year end? Yes.<\/p>\n

Arvind Kapur<\/strong><\/p>\n

Yeah, yeah, I think we’ll be. Hopefully we’ll cross that because a lot of development is taking place.<\/p>\n

Akshay Verma<\/strong><\/p>\n

Okay, good. And also regarding the export orders that is expected to ramp up. So you wanted to know more about that.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

We have one significant business for the, for our iron foundry from the. From the export side and those programs are under development currently which will go into the SOP this year and some of them early in Q1 of the next year.<\/p>\n

Akshay Verma<\/strong><\/p>\n

The peaking takes place next year. Next year.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yeah. Peak sale will happen in next year.<\/p>\n

Akshay Verma<\/strong><\/p>\n

Thank you so much. That’s it from my side.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Participants, you may press star and one to ask a question. Our next question comes from the line of Pranav from Prudent Equity. Please go ahead.<\/p>\n

Pranav<\/strong><\/p>\n

Yeah. Hi. My question was what can be the average tax rate I can expect for current year or moving forward?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

In RICO auto case it will be 25%, 26.34% better after including surcharge and all. So it will be in that range and for console it will be a little higher because we have merged our RFL which was paying taxes at 25% with RJWL which was paying at 34%. But one fortunate part is that this will be a tax rate but we have accumulated losses there. So actual outgoing Tax front will be less. So in cash flow you will see less outflow on cash on tax front. But rate wise it will be at 34% means consolidated it will be around.<\/p>\n

Pranav<\/strong><\/p>\n

34%.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Only on Gen 5 it will be at 34%. So console should come at around 29% or so. Console.<\/p>\n

Pranav<\/strong><\/p>\n

Okay. Okay.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

But standalone it will be 25%.<\/p>\n

Arvind Kapur<\/strong><\/p>\n

Yeah.<\/p>\n

Pranav<\/strong><\/p>\n

Okay. Yeah, that clears up. Thank you.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Our next question comes from the line of Bhaskara an investor. Please go ahead.<\/p>\n

Bhaskara<\/strong><\/p>\n

Hi, thanks for taking my question. Any further deferred tax benefits expected in Q2 or Q3 because of the merger?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Only thing is that our accumulated losses will be utilized. Other than that not much profit. Whatever profit is there that we have already gained on before. Because in new scheme there is no defer tax thing that is going to be there additional. Okay, so it is 6% only.<\/p>\n

Bhaskara<\/strong><\/p>\n

Okay. Do you expect to maintain the current network profit levels in the coming quarters? Not on the revenue side.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

I mean our target is very clear.<\/p>\n

Pranav<\/strong><\/p>\n

Okay, so in future quarters definitely we going to have at least minimum 10 core plus net profit. Right. Just for the.<\/p>\n

Rakesh Kumar Sharma<\/strong><\/p>\n

Sorry, your last sentence was not very clear. Minimum 10 profit.<\/p>\n

Bhaskara<\/strong><\/p>\n

Sorry.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Sorry. Can you please repeat your question?<\/p>\n

Bhaskara<\/strong><\/p>\n

Do you expect to maintain the current net profit levels in the coming quarters? Like previously last year we have got around.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

We are hopeful of improving it quarter on quarter.<\/p>\n

Bhaskara<\/strong><\/p>\n

Okay. So we can expect above 15 crore kind of consolidation profit. Right. Net profit. Okay. One last thing from my side. Could you share how many components the company is planning to register going forward in a railway?<\/p>\n

Arvind Kapur<\/strong><\/p>\n

How many components? Currently we are supplying in the range of 700, 600 to 700 railway. Sorry, sorry.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

I think the railways, the development that has already taken place and some delivery that takes place is almost about. Basically the initial samples and everything is what I think 24 or 25 if I remember correctly. These are mainly cast components and the Farex foundries utilize fully on this. And there are another, I think 13, 14 components which are under development for supplies to people who are already registered with RDS applying to the railways.<\/p>\n

Bhaskara<\/strong><\/p>\n

Okay. Any new bits that we participated for defense side other than the ranging containers? Any other.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Yes. There are a lot of things we are participating in and there are a lot of. Even for the brahmos we we will be participating.<\/p>\n

Bhaskara<\/strong><\/p>\n

Okay. Okay. Yeah, that’s it from my side. Thank you.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Participants, you may press star and then one to ask a question. A reminder to all the participants if you wish to register for a question. You may press star and then one. Now our next Follow up question comes from the line of Maitri Shah from Sapphire Capital. Please go ahead.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Yeah, hello. Hello.<\/p>\n

operator<\/strong><\/p>\n

Yes ma’, am, you’re audible. Please go ahead.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Yeah, you just mentioned you’ll be participating on the Brahmos side. Could you elaborate what sort of components are we going to be.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Project? We cannot talk too much about it.<\/p>\n

Bhaskara<\/strong><\/p>\n

And are these products in development phase or. They’ve been developed and we’re going to.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Be bidding for the tender at the moment it’s on discussion stage.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Justin. So the products haven’t been developed, is that correct?<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Oh no, they haven’t been developed. They are under discussion for mass volumes.<\/p>\n

Maitri Shah<\/strong><\/p>\n

Okay, thank you.<\/p>\n

operator<\/strong><\/p>\n

Participants, you may press.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

What I wanted to say was we are registered with them and there’s a lot of change of information that’s taking place.<\/p>\n

operator<\/strong><\/p>\n

Thank you. Participants, you may press star and then one to ask a question. A reminder to everyone, if you wish to register for a question, please press star and then one. As there are no further questions from the participants, I now hand the conference over to the management for closing comments.<\/p>\n

Kaushalendra Verma<\/strong><\/p>\n

Thank you everyone. I think as we discussed during the question ask and what we are projecting that we will continue to win more businesses from our customer and there are a lot of businesses in process currently for the launch which and which will significantly improve our run rate, revenue run rate in the subsequent quarters and our profit margin will be much better with respect to the current quarter going forward as we will be launching the new programs and working continue to work on our cost control. Thank you so much.<\/p>\n

operator<\/strong><\/p>\n

Thank you on behalf of. Thank you members of the management on behalf of Ricoh Auto Industries. That concludes this conference. Thank you all for joining us and you may now disconnect your lines.<\/p>\n

Arvind Kapur<\/strong><\/p>\n

Thank you so much.<\/p>\n","protected":false},"excerpt":{"rendered":"

Rico Auto Industries Limited (NSE: RICOAUTO) Q1 2026 Earnings Call dated Aug. 13, 2025 Corporate Participants: Unidentified Speaker Kaushalendra Verma \u2014 Whole-Time Director Arvind Kapur \u2014 Chief Executive Officer Rakesh Kumar Sharma \u2014 Chief Financial Officer Analysts: Unidentified Participant Hazel Rathod \u2014 Analyst Prafull Rai \u2014 Analyst Maitri Shah \u2014 Analyst Mohit Jangid \u2014 Analyst […]<\/p>\n","protected":false},"author":2377,"featured_media":147581,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[6349],"tags":[10169,9175,9104,9092,14492,13842,10089],"class_list":["post-176043","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-transcripts","tag-earnings","tag-earnings-call","tag-earnings-conference","tag-earnings-transcripts","tag-financial-results","tag-motherson","tag-quarterly-earnings"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/alphastreet.com\/india\/wp-content\/uploads\/2023\/05\/Transcript-thumbnail.jpg","jetpack_likes_enabled":false,"jetpack-related-posts":[{"id":109778,"url":"https:\/\/alphastreet.com\/india\/infosys-limited-infy-q4-2021-earnings-call\/","url_meta":{"origin":176043,"position":0},"title":"Infosys Limited (INFY) Q4 2021 Earnings Call","author":"Sahil Anand","date":"April 21, 2021","format":false,"excerpt":"Infosys Limited (NYSE: INFY) Q4 2021 earnings call dated\u00a0Apr. 14, 2021 Corporate Participants: Sandeep Mahindroo\u00a0\u2014\u00a0Vice President, Financial Controller & Head \u2013 Investor Relations Salil Parekh\u00a0\u2014\u00a0Chief Executive Officer and Managing Director Pravin Rao\u00a0\u2014\u00a0Chief Operating Officer and Whole-time Director Nilanjan Roy\u00a0\u2014\u00a0Chief Financial Officer Analysts: Ankur Rudra\u00a0\u2014\u00a0JPMorgan \u2014 Analyst Diviya Nagarajan\u00a0\u2014\u00a0UBS \u2014 Analyst\u2026","rel":"","context":"In "Earnings"","block_context":{"text":"Earnings","link":"https:\/\/alphastreet.com\/india\/category\/earnings\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/04\/Infosys-Limited-Q4-2021-Earnings-Call.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/04\/Infosys-Limited-Q4-2021-Earnings-Call.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/04\/Infosys-Limited-Q4-2021-Earnings-Call.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/04\/Infosys-Limited-Q4-2021-Earnings-Call.png?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/04\/Infosys-Limited-Q4-2021-Earnings-Call.png?resize=1050%2C600&ssl=1 3x, https:\/\/i0.wp.com\/alphastreet.com\/india\/wp-content\/uploads\/2021\/04\/Infosys-Limited-Q4-2021-Earnings-Call.png?resize=1400%2C800&ssl=1 4x"},"classes":[]},{"id":142151,"url":"https:\/\/alphastreet.com\/india\/rico-auto-industries-limited-ricoauto-q3-fy23-earnings-concall-transcript\/","url_meta":{"origin":176043,"position":1},"title":"Rico Auto Industries Limited (RICOAUTO) Q3 FY23 Earnings Concall Transcript","author":"IRS_INDIA","date":"February 17, 2023","format":false,"excerpt":"Rico Auto Industries Limited (NSE:RICOAUTO) Q3 FY23 Earnings Concall dated Feb. 15, 2023. 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