RBS - Ramdevbaba Sol.

📊 NSE: RBS 🏢 Solvent Extraction 📅 Last Updated: 12/14/2025 11:36

💰 Financial Performance

Revenue Growth by Segment

The company operates in a single segment (Solvent Extraction and related activities). Consolidated revenue from operations for H1 FY26 was INR 385.60 Cr, representing a 4.01% decline compared to INR 401.72 Cr in H1 FY25.

Geographic Revenue Split

Not disclosed in available documents; however, the company is headquartered in Nagpur, Maharashtra, and operates primarily in India.

Profitability Margins

Gross material margins are tight, with cost of materials consumed at INR 293.91 Cr (76.22% of revenue) in H1 FY26. Standalone Profit Before Tax (PBT) stood at INR 9.13 Cr for H1 FY26, compared to INR 20.08 Cr for the full year FY25.

EBITDA Margin

Operating profit before working capital changes for H1 FY26 was INR 16.78 Cr (Standalone), which is approximately 4.35% of standalone revenue. This reflects a lean core profitability margin due to high raw material dependency.

Capital Expenditure

The company raised INR 44.62 Cr through an IPO in April 2024 and INR 26.04 Cr through a preferential issue. INR 5.21 Cr was specifically infused for capital enhancement in the subsidiary RBS Renewables Private Limited.

Credit Rating & Borrowing

Consolidated long-term borrowings stood at INR 199.77 Cr as of September 30, 2025. Short-term borrowings surged by 112.01% to INR 147.11 Cr from INR 69.39 Cr in March 2025, indicating increased reliance on working capital debt.

⚙️ Operational Drivers

Raw Materials

Rice bran and other oilseeds (implied by solvent extraction business) accounting for 76.22% of total revenue (INR 293.91 Cr).

Import Sources

Primarily sourced from domestic markets in India, specifically Maharashtra and surrounding regions near Nagpur.

Capacity Expansion

Expansion is focused on subsidiaries; RBS Renewables Private Limited received INR 5.21 Cr for capital enhancement and INR 11.50 Cr for loan repayment to strengthen its balance sheet for future operations.

Raw Material Costs

Raw material costs stood at INR 293.91 Cr in H1 FY26. The company faces high sensitivity to agricultural commodity prices, which directly impact the 76.22% material cost-to-revenue ratio.

📈 Strategic Growth

Expected Growth Rate

Not disclosed in available documents

Growth Strategy

Growth is driven by diversification into high-margin FMCG products through 'Too Gud FMCG Products Private Limited' and expanding into the green energy sector via 'RBS Renewables Private Limited'. The company is also utilizing IPO and preferential issue proceeds to optimize its capital structure and fund working capital.

Products & Services

De-oiled cake, refined rice bran oil, FMCG consumer goods (under Too Gud brand), and renewable energy generation services.

Brand Portfolio

Ramdevbaba Solvent, Too Gud.

New Products/Services

Expansion into the FMCG segment with consumer-packaged goods and scaling renewable energy services through subsidiaries.

Market Expansion

Targeting the FMCG retail market and increasing footprint in the renewable energy sector in India.

🌍 External Factors

Industry Trends

The industry is shifting toward value-added branded oils and FMCG products to escape commodity price traps. The company is positioning itself by diversifying into FMCG and Renewables to align with sustainability and consumer trends.

Competitive Landscape

Competes with other large-scale solvent extractors and regional FMCG players in the edible oil and consumer goods space.

Competitive Moat

The company's moat is built on its integrated solvent extraction facilities and its emerging presence in the branded FMCG space, which provides higher switching costs compared to unbranded commodities.

Macro Economic Sensitivity

Highly sensitive to agricultural GDP and monsoon patterns which dictate raw material availability and pricing.

Consumer Behavior

Increasing consumer preference for branded, healthy edible oils and sustainable energy sources.

Geopolitical Risks

Minimal direct exposure, though global edible oil price fluctuations impact domestic realizations for rice bran oil.

⚖️ Regulatory & Governance

Industry Regulations

Subject to Food Safety and Standards Authority of India (FSSAI) norms for its oil and FMCG products, and environmental norms for its solvent extraction and renewable energy plants.