RMC cuts its Pulse Box market size by 64% and extends order book timelines
Management now sees a ₹50,000 crore addressable market for the IoT solution, not the ₹1.4 lakh crore it cited earlier. Order delivery windows are stretching to two years.
— 4 earlier stories on RMC Switchgears Ltd. →What's new
- RMC slashed the Pulse Box addressable market estimate from ₹1.4 lakh crore to ₹50,000 crore.
- The ₹825 cr order book will take two years to execute, not 12 months as previously stated.
- FY26 revenue grew 26% to ₹401.59 cr, but net profit fell 27% to ₹22.42 cr.
Why this matters
The downward revision on the core IoT product's market size is stark for a ₹302 crore market-cap company that has been building its narrative around Pulse Box. Pair that with the extended execution timeline for the order book, and the growth story gets thinner. Management is now talking about a shift to profitability and cash flow, which reads as an admission that the top-line push created the Q3 losses.
What we're watching
- Whether the single utility at tender-specification stage converts to a firm Pulse Box order.
- If the shift to cash-flow focus delivers positive operating cash flow in FY27.
- How the two-year order book execution timeline affects working capital needs.
The full read
RMC Switchgears is pulling back. Management cut the addressable market for its Pulse Box IoT solution to ₹50,000 crore from an earlier ₹1.4 lakh crore, a 64% reduction that narrows the entire growth thesis. The ₹825 crore order book, once pitched as a 12-month delivery, now stretches to two years after FY26 execution delays. Those delays explain the year's financial profile: revenue up 26% to ₹401.59 crore, but net profit down 27% to ₹22.42 crore. Q3 losses were driven by a mix of project slippage and Pulse Box development spend. For a company with a ₹302 crore market cap, the shift to 'profitable growth and positive operating cash flow' reads less like a strategic pivot and more like an acknowledgment that the earlier pace was unsustainable. Pulse Box is at tender-specification stage with one utility. No orders yet.
Questions answered
- Why did RMC reduce the Pulse Box addressable market estimate so sharply?
- Management narrowed its focus to 75 lakh urban transformers, cutting the addressable market to ₹50,000 crore from the earlier ₹1.4 lakh crore. The company cited a more precise, targeted approach.
- What happened to the ₹825 crore order book?
- RMC walked back its earlier projection that the order book would be delivered in 12 months. Management now says electrical EPC orders typically take two years and that execution buffers are needed after the delays seen in FY26.
- Why did profit fall even as revenue grew?
- FY26 revenue rose 26% to ₹401.59 crore, but net profit dropped 27% to ₹22.42 crore. Q3 was hit by execution delays and ongoing development costs for the Pulse Box solution.
- What is the status of Pulse Box commercialization?
- The proof-of-concept is complete. One utility has progressed to the formal tender specification stage, but RMC did not disclose any confirmed orders for the IoT solution.
- What is the new strategic focus for FY27?
- Management outlined a shift from top-line growth to profitable growth and positive operating cash flow in FY27. The long-term aspiration remains ₹5,000 crore revenue by FY30.
RMC Switchgears Ltd.
Latest quarter · Mar 2026
Strength & growth
Story so far
All notes on RMC →- 11 Jun 2026 · 5:10 PM IST RMC cuts its Pulse Box market size by 64% and extends order book timelines
- today RMC Switchgears grew revenue 26% but profit fell 27% in FY26
- 17d ago RMC Switchgears grew revenue 26% but profit fell 27% in FY26
- 17d ago RMC Switchgears' profit fell 27% even as revenue grew 26%.
- 25d ago RMC Switchgears schedules board meet for FY26 results