Vibhor Steel Kicks Off Production at New Odisha Greenfield Plant

26 Aug 2025 , 10:06 AM

Vibhor Steel Tubes Limited (VSTL) has begun the supply of Electric Resistance Welded (ERW) and Galvanized Iron (GI) pipes from its newly commissioned greenfield unit at Sundargarh in Odisha. The unit, with a installed capacity of 1.56 lakh MTPA, got commissioned in July 2025 after the supply of electricity was made available on July 11.

Spanning 23.98 acres, the unit had a combined investment of ₹119.83 crore within a timeline of 30 months. With this expansion, Vibhor Steel’s overall capacity now reaches 3.77 lakh MTPA, spread over its three units in Maharashtra, Telangana, and Odisha.

The plant in Odisha is not just planned for ERW and GI pipes but also for value-added items like crash barriers, power transmission line towers, high mast poles, octagonal poles, and monopoles.

Reacting to the milestone, Vibhor Steel Tubes Chairman and Executive Director Vijay Kaushik stated: Commissioning of supply from Sundargarh reinforces our production and distribution network, allowing for timely supply and improved service to customers. With high value-added product focus in the plant, we anticipate sharp margin expansion over the next quarter. The facility also positions us to access new markets, such as exports, and accelerate topline and bottomline growth.

For the June 2025 quarter, Vibhor Steel posted a net profit of ₹3.14 crore on revenues of ₹230.96 crore. In FY25, it reported revenues of ₹996.38 crore, slightly lower than ₹1,072.71 crore in FY24, while standalone net profit came in at ₹11.77 crore, compared with ₹17.72 crore in FY24. The company attributed the margin improvement to its shift towards value-added products and increased ERW tube volumes.

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