In , Rolex Rings Ltd (Bearings) is outperforming Nifty 500 with +21.4% relative strength. Fundamentals: Strong. On a 4-week streak.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 earnings • Updated Apr 19, 2026
What: New Program Value: ₹175-200 Cr
Impact: ₹200 Cr additional revenue
“I expect almost 200 odd crores, somewhere about 180 to 200 crore additional revenue from these new programs because something it has already been started.”
What: Europe Revenue Share: 22%
Impact: 10% QoQ growth
“there is almost 10% incremental revenue in Europe exports over quarter two and which is, you can say almost 25% compared to my FY25 full numbers.”
What: Utilization Target: 72-75%
Impact: 150-200 bps margin expansion
“we expect it would be somewhere about, you know crossing 72, in between 72 to 75% of utilization in next year.”
What: EBITDA Margin of 25.7%
“In terms of EBITDA, we have we are maintaining or rather we are trying to improvise on the basis of the scale of this cost measurement.”
Earnings deceleration risks from management commentary
Trigger: US government levied penalties on products using Russian inputs, which were only recently partially waived.
Impact: PAT impact: 30% annualized US revenue hit
Management view: Waiting for 'fine print' on HSN codes to confirm if duty drops to 18% or 25%.
Monitor: geopolitical
Trigger: Implementation of the new labor code from November 21, 2025.
Impact: PAT impact: ₹2.5 Cr
Management view: One-time accounting adjustment completed in Q3.
Monitor: labor
Trigger: Disagreement over interest calculations with the lead bank.
Impact: PAT impact: Not Given
Management view: Meeting with Executive Director of lead bank to close the matter by March 2026.
Monitor: litigation
Key quotes from recent conference calls
“but you had given a guidance of probably mid teen growth for 26 and high teen growth in 27 terms of revenue guidance. [Previous Revenue Growth FY26 guidance]”
“the solar project got bit deferred and now we expect that 9th May power plant is expected to be operationalized by December 25. [Initiative: Solar Power Plant Operationalization]”
“US Customs from the president's office that they have removed this Russian oil penalty, which was levied in the somewhere in August 2025. [Risk (geopolitical): HIGH]”
“PAT is being reduced by almost two and a half crore rupees... for the impact of the new labour code which has been implemented from 21st November 25. [Risk (labor): LOW]”
Headline numbers from the latest earnings call
Revenue
₹275 Cr
Why: Revenue growth was driven by a 14% increase in auto component revenue and improved European exports, offset by a 30% annualized decline in the US market due to tariff uncertainty.
The company maintained a flat top-line despite significant US headwinds through growth in domestic and European markets.
EBITDA
₹75 Cr
Why: Margins improved due to cost measurement initiatives and a higher contribution from other income, reaching 25.7% of gross revenue.
Net EBITDA (excluding other income) stood at 21% for the quarter.
PAT
₹48 Cr
Why: PAT increased due to higher other income and the absence of the large ROR interest provision that impacted the previous year's corresponding quarter.
Current PAT includes a ₹2.5 Cr exceptional hit for new labor code gratuity liabilities.
Other Highlights
• Auto component revenue grew 14% QoQ in Q3 FY26.
• European export revenue increased 10% over Q2 FY26.
• Operating cash flow for H1 FY26 was ₹87 Cr against ₹12 Cr capex.
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Export Revenue % of Total
47%
Why: Exports were impacted by the US tariff situation, dropping from higher historical levels.
Domestic Revenue % of Total
53%
Why: Domestic market share increased as exports faced headwinds.
Auto Component Revenue Mix
48%
Why: Strong growth in domestic and European auto component orders.
Bearing Ring Revenue Mix
52%
Why: De-growth in bearing rings due to industrial segment slowdown and US tariff impact.
Capacity Utilisation
62-63%
Why: Current utilization reflects the hold on US export volumes.
Production Capacity (MTPA)
105,000 - 115,000
Why: Achievable capacity remains stable.
EV Revenue % of Total
7.5%
Why: EV market execution has been slower than expected globally.
Passenger Vehicle Revenue Mix
53%
Why: Share increased relatively because of the sharp drop in CV and XCV segments due to US tariffs.
US Revenue % of Total
22%
Why: Direct impact of the 53% tariff and Russian oil penalty uncertainty.
Monthly Order Book
₹95 - 105 Cr
Why: Reflects current visibility for the next three months.
Forward-looking targets from management for FY27
Revenue Growth Target
16.5%
OPM Guidance
22.5%
Capex Plan
₹13 Cr
15-18% growth
REAFFIRMED
₹13 Cr
Value-added processes and small equipment
Guidance Changes
FY26 Revenue: Mid-teen growth → Flat
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +6% | +5% | Inflection Up |
| PAT (Net Profit) | +140% | +10% | Stable |
| OPM | 21.0% | +100 bps | Stable |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 19, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Rolex Rings Ltd's latest quarterly results (Dec 2025) show
Rolex Rings Ltd's profit is growing with an stable trend.
Rolex Rings Ltd's revenue growth trend is turning around (inflection up).
Rolex Rings Ltd's operating margin is stable.
Rolex Rings Ltd's long-term compounding rates
Rolex Rings Ltd's earnings growth is stable with improving on a sequential basis.
Rolex Rings Ltd's trailing twelve month (TTM) performance
Rolex Rings Ltd appears significantly undervalued based on our fair value analysis.
Rolex Rings Ltd's current PE ratio is 20.8x.
Rolex Rings Ltd's current PE is 20.8x.
Rolex Rings Ltd's price-to-book ratio is 3.5x.
Rolex Rings Ltd is rated Strong with a fundamental score of 66.72/100. This score is calculated from objective financial metrics
Rolex Rings Ltd has a debt-to-equity ratio of N/A.
Rolex Rings Ltd's return ratios over recent years
Rolex Rings Ltd's operating cash flow is positive (FY2025).
Rolex Rings Ltd currently does not pay a significant dividend (yield 0.00%).
Rolex Rings Ltd's shareholding pattern (Mar 2026)
Rolex Rings Ltd's promoter holding has decreased recently.
Rolex Rings Ltd has been outperforming Nifty 500 for 4 consecutive weeks, indicating building momentum.
Rolex Rings Ltd is an established outperformer with 4 weeks of consecutive Nifty 500 outperformance.
Rolex Rings Ltd has 4 key growth catalysts identified from recent earnings analysis
Rolex Rings Ltd has 3 key risks worth monitoring
In Q3 FY26, Rolex Rings Ltd's management highlighted
Rolex Rings Ltd's management has provided the following forward guidance for FY27
Rolex Rings Ltd's most important sub-sector-specific KPIs from the latest concall
Based on quantitative research signals, here is why Rolex Rings Ltd may be worth studying
Rolex Rings Ltd investment thesis summary:
Rolex Rings Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
