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RAJMET - Rajnandini Metal

📊 NSE: RAJMET 🏢 Mining / Minerals / Metals 📅 Last Updated: 12/14/2025 11:32

📢 Recent Corporate Announcements

Rajnandini Metal Appoints Ashok Kalra as CMD for 3 Years; Sanjay Choudhary Resigns

🟡 NEUTRAL ⭐ 7/10

MANAGEMENT 📅 27 Feb 2026, 05:05 PM

Rajnandini Metal Limited has announced a significant leadership transition with the resignation of Mr. Sanjay Choudhary from the post of Chairman & Managing Director effective February 27, 2026. To fill the vacancy, the Board has appointed Mr. Ashok Kalra as the new CMD for a three-year term ending February 26, 2029. The company will seek shareholder approval for this appointment and the re-appointment of two independent directors via a postal ballot. Mr. Kalra is an internal promotion, currently serving as an Executive Director with extensive experience in the metal industry.

Resignation of Mr. Sanjay Choudhary as Chairman & Managing Director effective February 27, 2026.
Appointment of Mr. Ashok Kalra as CMD for a 3-year term from February 27, 2026, to February 26, 2029.
Shareholder approval to be sought via Postal Ballot for the new CMD and two Independent Directors.
Mr. Ashok Kalra is an internal candidate with BBA and MSC qualifications and rich experience in metals.

💡 Investors should monitor the transition to ensure business continuity and check for any shifts in strategic direction under the new leadership. As this is an internal promotion, the impact on daily operations is expected to be minimal.

Rajnandini Metal Deposits ₹2.89 Lakh Fine for Delayed SEBI Board Compliance

🟡 NEUTRAL ⭐ 4/10

REGULATORY 📅 12 Feb 2026, 12:01 PM

Rajnandini Metal Limited has deposited a fine of ₹2.89 lakh (including GST) imposed by the NSE for a 49-day delay in complying with SEBI Regulation 17(1) regarding board composition. The non-compliance was triggered by the sudden resignation of Director Mr. Het Ram due to health issues, which the company struggled to fill promptly due to financial constraints. While the company has now appointed Mr. Sanjay Choudhary to restore compliance, it has also filed a waiver request citing significant losses incurred during FY 2024-25. The Board has assured the exchange that such lapses will not recur in the future.

NSE imposed a total fine of ₹2,89,100 for 49 days of non-compliance with board composition regulations.
Compliance was restored following the appointment of Mr. Sanjay Choudhary as Director effective August 19, 2025.
Company cited significant financial losses in FY 2024-25 and high remuneration expectations of candidates as reasons for the delay.
A non-refundable processing fee of ₹11,800 has been paid to the exchange for a fine waiver application.
The Board confirmed the fine has been deposited while awaiting a response on the waiver request.

💡 While the regulatory fine is immaterial in size, investors should monitor the company's financial health given its admission of significant losses and financial strain in FY 2024-25. Ensure the board remains fully compliant in future filings to avoid further exchange penalties.

Rajnandini Metal Q3 Profit at ₹51 Lakhs; Auditor Flags ₹290 Cr GST Demand

🔴 NEGATIVE ⭐ 9/10

EARNINGS 📅 11 Feb 2026, 04:29 PM

Rajnandini Metal reported a net profit of ₹51 Lakhs for Q3 FY26, up from ₹9 Lakhs YoY, despite a massive 73% drop in revenue to ₹61.84 Crores. The results are overshadowed by a qualified audit opinion regarding a ₹290.70 Crore GST demand for alleged ineligible input tax credit. For the nine-month period ending December 2025, the company has swung to a net loss of ₹1.45 Crores compared to a profit of ₹2.37 Crores in the previous year. Management is contesting the tax demand and has not made any financial provisions for it.

Revenue from operations fell sharply to ₹6,184 Lakhs in Q3 FY26 from ₹23,272 Lakhs in Q3 FY25.
Auditors issued a qualified opinion due to an unresolved GST demand of ₹290.70 Crores including interest and penalties.
Net loss for the nine-month period stands at ₹145 Lakhs vs a profit of ₹237 Lakhs YoY.
Exceptional item of ₹4.49 Lakhs recognized during the quarter for New Labour Code liabilities.
Total comprehensive income for Q3 FY26 was ₹53 Lakhs, aided by lower material costs compared to the previous quarter.

💡 Investors should be extremely cautious as the ₹290.70 Crore GST demand is significantly higher than the company's annual revenue and net worth. The qualified audit report and the sharp decline in nine-month profitability suggest high financial and regulatory risk.

Rajnandini Metal Q3 Revenue Drops 73% YoY; Auditor Flags ₹290.7 Cr GST Demand

🔴 NEGATIVE ⭐ 9/10

EARNINGS 📅 11 Feb 2026, 04:10 PM

Rajnandini Metal reported a sharp 73.4% YoY decline in revenue to ₹61.84 crore for Q3 FY26. While the company posted a marginal net profit of ₹0.51 crore for the quarter, it remains in a net loss of ₹1.45 crore for the nine-month period ending December 2025. The most significant concern is a qualified auditor's opinion regarding a massive ₹290.70 crore GST demand for alleged ineligible input tax credits. The company is currently contesting this demand in court and has not made any financial provisions for it.

Revenue from operations plummeted to ₹61.84 crore in Q3 FY26 from ₹232.72 crore in Q3 FY25.
Auditors issued a qualified opinion due to a ₹290.70 crore GST demand (including interest and penalty) which is not provided for in the books.
Net profit for the quarter stood at ₹0.51 crore, a slight improvement from ₹0.09 crore in the previous year's corresponding quarter.
Nine-month cumulative performance shows a net loss of ₹1.45 crore on a total income of ₹208.17 crore.
An exceptional item of ₹4.49 lakhs was recorded during the quarter due to the implementation of New Labour Codes.

💡 Investors should exercise extreme caution as the contested GST demand of ₹290.70 crore is significantly higher than the company's annual revenue and net worth. The drastic reduction in business volume and the auditor's qualification are major red flags.

Rajnandini Metal Clarifies Single Segment Operations to NSE for Q2 FY26 Results

🟡 NEUTRAL ⭐ 3/10

REGULATORY 📅 04 Feb 2026, 01:06 PM

Rajnandini Metal Limited (RAJMET) has responded to a clarification sought by the National Stock Exchange regarding its financial results for the quarter ended September 30, 2025. The exchange had questioned the absence of segment-wise reporting in the company's regulatory filing. The company clarified that it operates in only one reportable primary business segment, which is the manufacturing and supplying of copper wires. As per Ind AS 108 guidelines, the company is not required to provide separate segment disclosures if it only has one operating segment.

NSE sought clarification regarding Regulation 33 of SEBI LODR for the quarter ended September 30, 2025
Company confirms it operates in a single primary business segment: Manufacturing and supplying of copper wires
Disclosure requirements under Ind AS 108 are deemed not applicable by the company
The clarification was officially submitted to the exchange on January 13, 2026

💡 This is a routine regulatory clarification with no impact on the company's financial fundamentals. Investors should continue to monitor the core earnings performance of the copper wire business.

Rajnandini Metal Reports 100% Demat Holding in Q3 FY26 Compliance Filing

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 07 Jan 2026, 03:56 PM

Rajnandini Metal Limited has submitted its compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations for the quarter ended December 31, 2025. The company's Registrar and Share Transfer Agent, Bigshare Services Pvt. Ltd., confirmed that no requests for dematerialization or rematerialization were received during this period. This is because the entire shareholding of the company is already held in dematerialized form. This filing is a standard regulatory requirement and does not impact the company's financial position.

Compliance certificate submitted for the quarter ended December 31, 2025.
Registrar confirms zero requests for dematerialization or rematerialization during the quarter.
100% of the company's equity shares are currently held in demat form.
The filing confirms adherence to Regulation 74(5) of SEBI (Depositories and Participants) Regulations.

💡 No action is required as this is a routine administrative filing. Investors should focus on the company's upcoming quarterly financial results for material performance updates.

Rajnandini Metal Closes Trading Window from Jan 1, 2026 for Q3 FY26 Results

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 29 Dec 2025, 05:41 PM

Rajnandini Metal Limited has announced the closure of its trading window for all designated persons starting January 1, 2026. This action is taken in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, ahead of the financial results for the quarter and nine months ending December 31, 2025. The window will remain closed until 48 hours after the financial results are officially declared. This is a standard regulatory procedure for listed companies in India.

Trading window closure begins on January 1, 2026
Closure is related to the financial results for the quarter ending December 31, 2025
Restriction applies to Board Members, Promoters, and Key Managerial Personnel
Window will reopen 48 hours after the declaration of financial results

💡 No action is required as this is a routine regulatory filing. Investors should focus on the upcoming quarterly earnings release for actual performance metrics.

Rajnandini Metal Clarifies Segment Reporting for Q1 FY26 Results

🟡 NEUTRAL ⭐ 3/10

REGULATORY 📅 23 Dec 2025, 06:19 PM

Rajnandini Metal Limited (RAJMET) has responded to a clarification sought by the National Stock Exchange regarding its financial results for the quarter ended June 30, 2025. The exchange had questioned the absence of segment-wise reporting in the company's recent filing. The company clarified that it operates in only one reportable business segment, which is the manufacturing and supplying of copper wires. As per Ind AS 108, separate segment disclosures are not required for single-segment operations, and the company has requested the exchange to take this on record.

NSE sought clarification on September 11, 2025, regarding missing segment details in the June 2025 quarter results.
Company confirms it operates exclusively in the manufacturing and supplying of copper wires segment.
Clarification provided under Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Company maintains that Ind AS 108 disclosure requirements are not applicable due to its single-segment business model.

💡 This is a routine regulatory clarification and does not impact the company's financial health or operations. Investors should focus on the core copper wire business performance for future growth cues.

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💰 Financial Performance

Revenue Growth by Segment

Total revenue from operations for FY25 was INR 1,033.58 Cr, representing a 14.75% YoY decline from INR 1,212.43 Cr in FY24. The company operates in trading (scrap) and manufacturing (copper rods/wires), with manufacturing starting in November 2019.

Profitability Margins

The company reported a net loss of INR 2.17 Cr in FY25 compared to a profit of INR 15.24 Cr in FY24. Net profit margin for FY25 was approximately -0.21%.

EBITDA Margin

PBILDT margin declined significantly to 0.32% in FY25 from 1.77% in FY24. Q1 FY26 PBILDT margin was reported at 0.81%.

Capital Expenditure

Not disclosed in absolute INR Cr for the current period; however, the company established its manufacturing unit in November 2019.

Credit Rating & Borrowing

The company's credit profile is impacted by a qualified audit report. Overall gearing was 0.78x as of March 31, 2025, compared to 1.77x as of March 31, 2024. Interest coverage ratio weakened to 0.25x in FY25 from 1.89x in FY24.

⚙️ Operational Drivers

Raw Materials

Copper scrap is the primary raw material, accounting for approximately 90% of the total raw material cost.

Capacity Expansion

The manufacturing unit was started in November 2019; specific installed capacity in MT or units is not disclosed.

Raw Material Costs

Cost of materials consumed in FY25 was INR 1,033.71 Cr, representing 100% of revenue from operations, down from INR 1,157.86 Cr in FY24.

📈 Strategic Growth

Growth Strategy

The company aims to achieve growth through human resource empowerment, leadership mentoring, and skill upgradation in Sales, Finance, and Purchase functions. It leverages repeat business from key customers like Kei Industries Ltd. and Svarn Infratel Private Limited.

Products & Services

Copper rods, copper wires, cables, and metal scrap (copper wires, ingot scrap, and other ferrous/non-ferrous metals).

Brand Portfolio

Rajnandini Metal Limited (RAJMET).

🌍 External Factors

Industry Trends

The industry is evolving with rapid changes in the winding wire segment. The company is positioned as a manufacturer of copper rods and wires, transitioning from a pure trading model since 2019.

Competitive Landscape

The company competes in the non-ferrous metals and copper industry; specific competitor names are not listed.

Competitive Moat

The company's moat is based on established relationships with suppliers and key customers like Kei Industries, though this is challenged by low profitability margins (0.32% PBILDT).

Macro Economic Sensitivity

The business is sensitive to changes in legal, fiscal, and regulatory regimes in India, which can affect competitiveness and performance.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to GST regulations and Income Tax search/seizure protocols. The company is currently under investigation by GST authorities regarding ineligible input credit.

Taxation Policy Impact

The company is contesting an Income Tax demand of INR 16.98 Cr. Current tax provision for FY25 was INR 0.18 Cr.

Legal Contingencies

Pending GST demand of INR 290.70 Cr (including penalty and interest) and Income Tax demand of INR 16.98 Cr. Enforcement Directorate (ED) has issued summons to promoters regarding financial transactions with a company under investigation.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the potential liability of INR 307.68 Cr from tax authorities, which significantly exceeds the company's net worth and annual revenue.