RUSHIL DECOR LTD. Q2 FY26 Results

The second quarter of FY2026 marked a period of recovery and steady operational performance for Rushil Decor, as operations at the Andhra Pradesh MDF facility returned to full normalcy following the one-off disruption earlier in the year. Consolidated Revenue from Operations was Rs. 2,356 million in Q2 FY2026, a 2.3% increase year-on-year. For H1 FY2026, Revenue from operation was Rs. 4,148 million. The MDF division continued to be the key revenue driver, contributing Rs. 1,695 million in Q2 FY2026. Domestic MDF sales increased by 5.2% year-on-year, supported by steady demand across retail and OEM. Export revenue nearly doubled sequentially as shipments resumed post-normalization of plant operations. The overall impact of lower volumes was partly offset by improved realizations with blended realizations improving by 7.7% year-on-year, driven by better product mix and price stability. Additionally in Q2 FY2026, the share of value-added products was 45% by volume and 56% by value, underscoring the Company’s focus on quality and customer-oriented offerings. Operationally, the MDF plant achieved capacity utilization of 79% during the quarter, reflecting near full recovery from the April fire incident. With operations now fully stabilized, we are now focused on optimizing production efficiency and improving cost structure amid external challenges such as elevated resin prices and global trade-related issues impacting input costs. The Laminates division recorded revenue of Rs. 547 million in Q2 FY2026, an increase of 8.9% year-on-year. Growth was led by stronger demand in the domestic market, where revenue increased 8.8% year-on-year and volumes grew 12.8%. Export performance remained healthy, supported by higher realizations across key geographies. The division capacity utilization increased to above 90%, supported by the initial contribution from the Jumbo Laminates facility at Gandhinagar. Commercial dispatches from the Phase 1 Jumbo Laminates unit commenced during the quarter, and the products have started contributing to the topline. The Company has also initiated trial production of Phase 2 of the project. This expanded capacity will strengthen Rushil Decor’s position in the premium laminate segment and cater to growing global demand for jumbo-size sheets. During the quarter, the Company added 10 new direct distributors and over 40 retailers and dealers, further expanding its network. Continued participation in international exhibitions and customer engagements has helped widen the export base and enhance brand visibility in overseas markets. Sustainability remains an integral part of the Company’s operations. Under its agroforestry program, Rushil Decor has successfully planted over 24 million saplings across Andhra Pradesh, ensuring a consistent and sustainable raw material supply chain while supporting local farming communities. The Company is also planning the installation of solar rooftop systems across its manufacturing facilities to reduce energy costs and enhance environmental efficiency. Furthermore, The Company also received Rs. 114 million as incentives from the Government of Andhra Pradesh under the Industrial Development Policy 2015-20, which includes power subsidy and stamp duty reimbursement. Looking ahead, Rushil Decor remains focused on improving capacity utilization, enhancing product mix and driving margin recovery. The stabilization of MDF operations, expansion of laminates capacity under the Jumbo Project and steady export traction are expected to contribute to improved profitability in the second half of FY2026.