Arm Welders has announced plans to consolidate its existing three plants into a new, state-of-the-art 2 lakh square feet facility in Pune. This strategic move aims to streamline operations and open avenues for new product lines and sectoral opportunities.
Currently, Arm Welders operates from three facilities: a 20,000 sq. ft. plant that integrates welding gun production, a corporate office, a design center, and an R&D unit; a nearby 50,000 sq. ft. facility dedicated to manufacturing machines and automation systems; and an 8,000 sq. ft. unit focused on machining critical parts. The new facility will consolidate these operations, enhancing efficiency and capacity.
The expansion will allow Arm Welders to venture into specialized welding solutions like laser welding and rod-bidirectional technologies. The company already serves major automotive clients such as Tata Motors, Mahindra & Mahindra, Toyota, and Volkswagen, and is also active in the railway sector.
“This added capacity will enable us to expand through joint ventures in different segments,” said CEO Brijesh Khanderia. He highlighted that the Indian automotive welding and automation market has a potential value of over Rs 1,000 crore.
Financially, Arm Welders reported an operating revenue of approximately Rs 51 crore in FY23 with a net profit of Rs 1.7 crore. The company has demonstrated robust growth, with a CAGR of 35-40% over the past three years. Looking ahead, it aims for 30% growth in the current year and a sustained minimum CAGR of 20-25% over the next five years. The company currently employs around 180 people.
Expanding Global Footprint
Arm Welders is also focusing on expanding its presence in the Vietnamese market, targeting to increase exports to 20-25% of revenues. The company, which supplied welding guns for the Skoda Project in Vietnam, aims to capitalize on its early mover advantage in a market largely dominated by Japanese and Chinese players. Future expansion plans include Thailand, Indonesia, Latin America, and other regions.
“The vision is to make Arm Welders a global supermarket in the next five years, always having a product that one wants,” Khanderia stated.
Innovation in New Age Materials
With the rise of electric vehicles and alternative fuels, Arm Welders is addressing the unique welding challenges posed by new-age materials like lightweight alloys and aluminum. These materials require precise welding techniques and specialized venting methods. Arm Welders’ dedicated R&D department is continuously developing products tailored for these next-generation materials. The company also designs and manufactures its own controllers, ensuring seamless integration and optimal welding performance.
Diversified Operations
Prior to 2011-2012, Arm Welders heavily relied on the automotive industry for 90% of its revenue. However, it has since diversified into sectors such as railways, furniture, construction, and general fabrication, offering complete turnkey projects. Today, Arm Welders operates through three distinct verticals: a product vertical for welding equipment, an automation vertical for turnkey projects, and a spares and services vertical to ensure customer support and minimize downtime.
As Arm Welders continues to grow, its commitment to innovation, quality, and diversification positions it as a key player in the welding and automation industry.
