Usha Martin reported a strong performance in Q3 FY26, with revenue increasing by 6.6% year-on-year to INR917 crore. Operating EBITDA grew by 23.3% to INR176 crore. The company is focused on value-added products, expanding to new geographies, and cost optimization. They are optimistic about future growth and are actively pursuing both organic and inorganic opportunities.
Financial Highlights
Usha Martin’s consolidated revenues for Q3 FY26 reached INR917 crore, representing a 6.6% year-on-year increase. The Wire segment demonstrated strong growth, with revenues up by 20.2%. Operating EBITDA for the quarter stood at INR176 crore, reflecting a 23.3% year-on-year increase. Operating cash flow before tax was INR561 crore, a strong conversion of operating EBITDA into cash. Net profit for Q3 FY26 increased to INR107 crore.
Segment Performance
The Wire segment experienced significant growth, contributing substantially to the overall revenue increase. The Wire Rope segment also showed growth, while the LRPC segment experienced a decline. Usha Martin is focusing on high-quality wires, value-added segments (Elevators, Crane, Mining, Oil & Offshore), and specialized products.
Strategic Initiatives
Usha Martin is prioritizing value-accretive products and applications, expanding its customer base across geographies, and focusing on cost structure optimization. The company is actively tracking new customer onboarding and is seeing positive results in regions like Saudi Arabia. They are also focused on generating strong cash flows and improving working capital management.
Future Outlook and Growth
Growth remains a key priority for Usha Martin. The company is seeing volume growth coming from new focus areas and is building capabilities in high-quality wires. Capex at the Ranchi plant is stabilizing, and the company expects a pickup in volumes in the coming quarters. Usha Martin is also focused on developing customized solutions for customers. They see the synthetic sling business scaling up and contributing to revenue and margin in the next financial year.
Financial Position
Usha Martin has moved to a net cash position. Net working capital has reduced by INR97 crore from the peak of December ’24. Gross debt has reduced from INR338 crore in March 2025, to INR172 crore as of December 2025. They expect early double-digit revenue growth in the next year. They anticipate reaching a INR680 crore to INR700 crore EBITDA range for the year and will maintain margins at the 19% to 20% level. A capex of INR250 crore to INR300 crore per year is expected in the next 2 to 3 years.
CBAM Impact
Usha Martin is proactively addressing the Carbon Border Adjustment Mechanism (CBAM). While Wire Ropes are not immediately impacted, they are conducting calculations to understand the potential financial impact and minimize emissions. The company has initiated a project to set up a 4-megawatt solar power plant at the Ranchi plant.
Source: BSE
