At my company we ve used it for a big internal application. We ve built literally hundreds of components - a lot of them being inherited components from netzke-basepack, but we also rolled our own from the ground up.
I think as of now it s by far the best solution to RIA with rails. The creator is very helpful and managed to build a growing and helpful community around the project.
Working with it is very rewarding - once you understand the core concepts you will be very quick plugging your components together to build great and interactive web apps. It can be a bit tough to polish it later though, due to the complexity of Ext JS itself (it s a complete application framework after all) - but with growing Ext JS knowledge this wasn t an issue in our project after some time.
I suggest you give it a try - there is no alternative to use rails with Ext JS IMHO :-)