Titagarh Rail Systems Limited has released its investor presentation for the fourth quarter and full year of FY26. The company highlights significant advancements in its order book, including key corporate actions like exiting its loss-making Italian business and receiving a wagon leasing license. Financial performance shows strong revenue growth in the Passenger Rail Systems segment and a positive cash flow from operations.
Key Highlights: Q4 & FY26 Investor Presentation
Major Corporate Actions
Titagarh Rail Systems Limited (TRSL) has undertaken several strategic initiatives: The company has exited its loss-making business in Italy, providing for all related investments and liabilities, with no further expected losses. Furthermore, its shipbuilding and maritime business has been hived off to its wholly owned subsidiary, Titagarh Naval Systems Limited, effective January 1, 2026. A promoter warrant issue of ₹200 crore has been allotted at ₹947/share, with 25% received and the balance due within 18 months. Additionally, 8.75 lakh employee stock options were granted in December 2025. TRSL has also obtained a Wagon Leasing license from Indian Railways and booked its first orders. The Board has recommended a ₹1/share dividend (50%) for FY26, subject to shareholder approval.
Order Book Position
The company boasts a strong order book. The standalone order book (including WOS) stands at approximately ₹14,240 crore. The total order book, including the prorated share of Joint Ventures (JVs), is approximately ₹27,540 crore. Within this, Freight Rail Systems contributes around ₹3,115 crore (22.67%), and Passenger Rail Systems contributes approximately ₹10,625 crore (77.33%). Shipbuilding and Maritime Systems add about ₹500 crore. The company’s share in JVs is approximately ₹13,300 crore.
Update on Freight Rail Systems (FRS)
As of March 31, 2026, the pending order book for FRS comprises approximately 6,500 wagons for Indian Railways and private customers, scheduled for delivery in FY27. TRSL received its first wagon leasing order from Balmer Lawrie for 2 rakes on a 10-year operating lease. The company successfully supplied 25 BRNA Flat Wagons and 100 Hopper Wagons to DFCCIL. A significant first-ever order for design, manufacture, supply, testing, and commissioning of Rail Borne Maintenance Vehicles (RBMV) from Indian Railways, worth ₹273.24 crore, has been secured. The foundry upgrade has expanded capacity to 50,000 MT per annum, enabling 100% backward integration. FY26 dispatches were 7,019 wagons, impacted by supply chain constraints. The FY27 target is set at 650-700 wagons per month, potentially scaling to 1,000/month with new tenders.
Update on Passenger Rail Systems (PRS)
The total order book for PRS as of March 31, 2026, includes 519 metro coaches, 1280 coaches of Vande Bharat, 71 propulsion sets, and 571 traction motors. TRSL has acquired approximately 40 acres at Uttarpara to expand manufacturing capacity and build an integrated facility with a 1.6 km test track. A milestone agreement has been signed with ABB for TCMS and localization of Converters & Traction Motors. The company delivered its first indigenously manufactured stainless steel metro coach to Gujarat Metro. The Propulsion System for EMU trains has been indigenously developed and approved. FY26 dispatches reached 64 coaches, with a target to ramp up to at least 200 coaches in FY27. All 34 trainsets for Pune Metro have been delivered, with 25 completing DLP, and an order for an additional 12 trainsets has been received.
Key Financial Highlights
TRSL reported a +111% YoY growth in PRS Revenue, reaching ₹539 crore, its highest ever. PRS coaches supplied stood at 63, compared to 12 in the previous year. The PRS EBIT margin is 14.27%. In FY26 execution, revenue was impacted by wheelset and West Asia supply constraints for the FRS segment. The PRS segment aims for a ramp-up to a minimum of 200 cars in FY27, with the Vande Bharat train to be delivered in FY27.
FY26 Key Financial Numbers (Standalone & Consolidated)
Standalone revenue for Q4 FY26 was ₹858.54 crore, with EBIDTA at ₹103.81 crore and a margin of 12.0%. PBT was ₹68.02 crore with a margin of 7.9%, and PAT was ₹53.14 crore with a margin of 6.5%. Consolidated revenue for Q4 FY26 was ₹875.43 crore, with EBIDTA at ₹97.23 crore and a margin of 11.1%. Consolidated PBT was ₹72.73 crore with a margin of 8.3%, and PAT was ₹51.56 crore with a margin of 5.9%.
FY26 Cash Flow Statement
Cash flow from operations was a positive ₹311 crore, a significant improvement from negative cash flow in the previous year. Net debt stood at ₹93 crore. Net working capital days were approximately 107 days, driven by inventory mismatches due to supply chain constraints. Overall capex for the year was ₹368 crore, up from ₹236 crore in the previous year.
Subsidiaries & Joint Ventures – Key Updates
Titagarh Naval Systems Limited (TNSL) is setting up a Brownfield Shipyard at Falta with a Capex of ~₹600 crore and has secured ₹169 crore under the Shipbuilding Financial Assistance Scheme. Project launch is planned for June 2026. TNSL is exploring technology partnerships and is applying for an upgrade to Category-C shipyard status. An integrated platform for 60T BP E-Tugs is being established. The Ramkrishna Titagarh Rail Wheels Limited (JV with RKFL) project is progressing, with cold commissioning of the Forging Line completed and commercial operations expected by Q2 FY27. The company holds a 49% stake in this JV, which will establish Asia’s 2nd largest manufacturing plant for forged wheels. A proposed JV with BHEL aims for manufacturing and maintenance of the Vande Bharat Sleeper Train project, with TRSL and BHEL holding 50% each.
Shareholding Pattern as on 31st March, 2026
As of March 31, 2026, Promoters hold 40.46% of shares. Mutual Funds hold 9.33%, Resident Individuals hold 31.68%, Foreign Portfolio Investors hold 10.66%, and Others hold 7.87%. Promoter holding is expected to increase to 41.44% post-conversion of warrants.
Source: BSE
