Shares of JTL Industries Ltd, a prominent steel pipes manufacturer, experienced a rise of up to 2.2 percent following the company’s announcement regarding its expansion plans. JTL Industries Ltd, currently valued at a market capitalization of Rs 4,317.00 crore, saw its stock trading at Rs 231.95 per share, reflecting an increase of approximately 0.54 percent from its previous closing price of Rs 230.70 per share.
Today’s trading session has been marked by positive momentum for JTL Industries Ltd, spurred by the company’s recent revelation about the successful expansion of its Galvanized Iron (GI) plant located in Mangaon, Maharashtra. This new addition to their infrastructure will significantly boost their production capabilities, adding an extra 5,000 metric tons (MT) of capacity each quarter.
This development is pivotal in the company’s strategy to enhance its Value-Added Product (VAP) share, which is targeted to reach 40%-42% by the end of this year. This ambitious goal is set to be bolstered by the introduction of Direct Forming Technology (DFT) in the latter half of the year, which is currently in the installation phase.
Examining the financial performance of JTL Industries Ltd, the company reported a notable 2 percent increase in revenue, rising from Rs 505 crore in the first quarter of FY24 to Rs 515 crore in the first quarter of FY25. Concurrently, net profits surged by an impressive 24 percent, climbing from Rs 25 crore to Rs 31 crore during the same period.
JTL Industries operates multiple manufacturing facilities across India, with locations in Punjab, Maharashtra, and Chhattisgarh. The company’s total production capacity stands at 5,86,000 metric tons per annum (MTPA) for steel pipes, with an additional 3,00,000 MTPA dedicated to backward integration processes.
To further bolster its manufacturing capabilities, JTL plans to invest Rs 340 crore to expand its capacity from 0.6 MTPA to 1 MTPA by the end of FY25. Additionally, the company aims to elevate its share of value-added products (VAP) from 31% in FY23 to 50% by FY25. By the conclusion of FY25, JTL Industries intends to increase its overall production capacity by 0.2 MTPA at its facilities in Mangaon and Raipur, ultimately achieving a total capacity of 1 MTPA.
JTL Industries Limited, based in India, specializes in the production of electric resistance welded (ERW) steel pipes, as well as section pipes and tubes. The company is involved in the manufacturing and sale of various iron and steel products, including JTL MS Structura, JTL Jumbo, JTL Ultra, JTL Jal Jaan, and JTL Galva Flow, catering to a diverse range of industrial needs.
