1:1 Bonus Share & FIIs Increase Stake: Multibagger Steel Tube Manufacturing Stock in Green on Quarterly Business Update; Details Inside!

The stock gave multibagger returns of 350 per cent in 3 years and a whopping 1,735 per cent in 5 years.

JTL Industries Limited is a fast-growing dynamic steel tube manufacturing company which specializes in producing ERW Black Pipes, PreGalvanized and Galvanized Steel Pipes, large diameter tubes and pipes, and hollow structure sections. JTL is pleased to share a comprehensive update on its business performance for Q1FY25

JTL Industries has demonstrated a significant sales volume growth of a 10.8% increase on a YoY basis, reaching 85,674 MT in Q1FY25 from 77,342 MT in Q1FY24. This growth is fuelled by strategic initiatives and operational excellence, driven by strong demand for structural steel tubes and pipes in infrastructure and industrial sectors in both domestic and international markets. For Q1FY25, JTL recorded sales volumes of 21,261 MT for value-added products, contributing 25 per cent of the total sales mix. JTL has also achieved its highest-ever quarterly sales volume in terms of export volumes, showcasing a strong growth of 31.4 per cent from 4,503 MT in Q1FY24 to 5,917 MT in Q1FY25. Export sales contributed 6.9 per cent to the total sales volume for Q1FY25.

As per our internal schedule, we have completed the commercialization of the first phase of Nabha Steels and Metals, which began operations in June. This phase has demonstrated a strong performance, achieving overall sales of 10,726 MT. This acquisition represents a significant milestone in JTL's comprehensive backward integration strategy, positioning us as a one-stop solution provider with an expanded product portfolio. This integration is anticipated to improve yield, generate synergies and boost profitability. 

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About JTL Industries Ltd

JTL Industries Limited is amongst the fastest-growing steel tube manufacturers, with a Registered office located in Chandigarh. The company has manufacturing facilities in Punjab, Maharashtra, and Chhattisgarh. The cumulative capacity of the company is 5,86,000 MTPA for pipe manufacturing and ~3,00,000 MTPA is backward integration. The company is a recognized Star Export House, and its product offering includes GI Pipes, MS Black Pipes, Hollow-sections and Solar Structures amongst others which cater to diverse industrial and infrastructural applications. All the products are available in hot dip galvanized, pre-galvanized and without coated (MS black) grades.

Today, shares of JTL Industries Ltd gained 2.07 per cent to an intraday high of Rs 224 per share from its previous closing of Rs 219.45. The stock’s 52-week high is Rs 276.90 per share while its 52-week low is Rs 167.10 per share.

According to the Quarterly Results, the company reported net sales of Rs 465.94 crore and net profit of Rs 29.55 crore in Q4FY24 compared to net sales of Rs 472.63 crore and net profit of Rs 36.65 crore in Q4FY23. In its annual results, the net sales increased by 31.6 per cent to Rs 2,040.23 crore and net profit increased by 25.4 per cent to Rs 113.01 crore in FY24 compared to FY23. This substantial growth was driven by high demand for our products and the effective execution of strategic expansion initiatives throughout the year.

In FY24, FIIs bought 68,63,325 shares and increased their stake to 4.62 per cent compared to 1.62 per cent in December 2023. On September 07, 2023, the shares of the company ex-traded bonus share in the ratio 1:1 and earlier to it i.e., on August 04, 2021, the shares of the company ex-traded stock split of equity shares from a face value of Rs 10 to a face value of Rs 2 each. The stock gave multibagger returns of 350 per cent in 3 years and a whopping 1,735 per cent in 5 years. Investors should keep an eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.