Steel Strips Wheels win single largest monthly order worth US$ 1 million

Steel Strips Wheels Ltd (SSWL), automotive steel wheels designing and manufacturing company, announced on Monday that it has bagged firm export orders worth US$ 1.5 million from the United States. Reacting to this news, the stock gained 1.51 per cent during the early morning trading session.

The export order is over 1,45,000 wheels from US Caravan Trailer, which will execute from its Chennai plant. This is the single largest order received from one customer, which is set to be executed in September. With this order, the company’s Chennai plant intends to run its passenger car wheel business segment at its highest monthly run rate.

The recurring order proves the comeback of the US market after a quiet period of slowdown. The company expects to receive more such orders in the near future. This order strengthens SSWL’s export segment with an expectation to increase by at least 25 per cent YoY in the financial year 20-21.

SSWL commands approximately 50 per cent market share in passenger vehicles (PVs), around 52 per cent in the medium and heavy commercial vehicles (M&HCVs), and around 42 per cent in tractors’ segment.  The company’s export forms around 10 per cent of the total revenue as it serves US and EU clients.

At 11.16 am on Monday, the stock is trading at Rs 441.3 with a growth of 1.15 per cent. The stock has a 52-week high of Rs 798 and a 52-week low of Rs 317.35 on BSE.