Venus Pipes & Tubes rallies over 6.5% as PAT soars 97% yoy in Q2FY24

Venus Pipes & Tubes Ltd has announced its unaudited financial results for the second quarter and half year ended on September 30, 2023.

On Friday early morning trade, shares of Venus Pipes & Tubes rallied over 6.5% at ₹1369 per share on the BSE.

Key Operational Highlights:

• During the quarter, the company witnessed highest ever quarterly revenue of ₹191.4cr with EBITDA margins surpassing 18%. For H1 FY24, the revenues stood at ₹371cr witnessing a growth of 54.6% yoy with margins of 16.8% 
• Revenues for Q2FY24 from Stainless steel seamless and Welded pipes witnessed a growth of 153% and 1% yoy respectively. 
• Volume for Seamless Pipes witnessed a growth of more than 100% and Welded Pipes witnessed a growth in high teens for Q2FY24 compared to same period last year.
• Venus has experienced remarkable export growth, thanks to our strong on-ground team and consistent dedication to quality. Exports made up ~15% of the total revenues for Q2FY24 standing at ₹28.5cr vs ₹1.6cr for Q2FY23.
• Company reported a positive net cashflow from operations of ₹6.5cr for H1FY24.
• The planned capex to add an additional 400 MTPM of seamless pipes is on schedule and is poised for completion by Q4FY24.

Commenting on the company’s financial performance, Arun Kothari, Managing Director, Venus Pipes & Tubes Ltd, said, “During the quarter, we witnessed a solid growth in exports front, forming 15% of our revenues largely due to our backward integration of seamless pipes resulting in increased acceptance for our products primarily in European markets. We are optimistic of this momentum to persist going forward and continue to focus on expanding our share of exports.”