Ratnaveer Precision Engineering Targets ₹2,500 Crore Revenue with CCL Expansion, Positions for Import Substitution
Ratnaveer Precision Engineering Ltd (NSE: RATNAVEER) laid out a bold growth strategy during its fiscal fourth-quarter earnings call on May 14, 2026, highlighting a major push into copper-clad laminates (CCL) as the centerpiece of its plan to reach a consolidated top line of ₹2,500 crore within three years. The company, which reported ₹1,078 crore in revenue for the last fiscal year, expects its stainless steel business to grow at a compound annual rate of 25% while the CCL venture adds ₹750 crore once fully operational.
The CCL project, which aims to completely replace imports in the segment, has secured a technology partnership with a Chinese firm and placed orders for machinery. Production is slated to begin by November 2026. Management noted that government approvals and incentives have already been received, supporting the project's financial viability. 'We are confident in our ability to compete on quality and cost,' the managing director said during the call, citing a 10–13% cost advantage over foreign competitors and a 2% cash subsidy from the government for local purchases.
Addressing investor concerns about cash flow, the company explained that negative operating cash flow in the latest period was partly due to fixed deposits parked from Qualified Institutional Placement (QIP) proceeds. The QIP raised ₹185 crore for working capital and capital expenditure. An additional ₹330 crore is planned for the CCL project and further working capital needs, with promoter infusion via warrants also contributing. Warrants issued at ₹159 per share — not ₹196 as some had speculated — are expected to convert into equity within 18 months, ending September 2027. Post-conversion, promoter holding is projected to settle around 47–48%, compared with 42–43% immediately after the QIP.
On the stainless steel front, Ratnaveer serves diverse industries including automotive, transportation, aerospace and fast-moving consumer goods. The revenue base is highly fragmented; no single customer accounts for more than 2–5% of total sales. Management emphasized that the cash flow profile will stabilize once ongoing capital expenditure projects are completed, and reiterated confidence in achieving the ₹1,350 crore revenue target for the current fiscal year. The earnings call also clarified that the company has no exposure to anti-dumping duties on CCL imports, positioning it to capitalize on rising domestic demand from PCB manufacturers seeking indigenous supply chain alternatives.