Hi-Tech Pipes logs 6% yoy growth in Q3 revenue at Rs440cr led by better sales realization; Stock jumps 1.5%

20 Jan 2022 , 02:13 PM

Hi-Tech Pipes Limited  on Thursday has reported its financial results for the quarter and Quarter ended December 31, 2021.

Key Consolidated Financial and Operational Highlights for Q3FY22:

• Revenue from operations was up 6% to Rs440cr as compared to Rs416cr in Q3 FY21; led by better sales realisation.
• EBITDA was up 8% to Rs25.08cr as compared to Rs23.22cr in Q3 FY21; led by higher volume of value added products.
• EBITDA/ton at Rs.3853 in Q3FY22 vs. Rs.2810 in Q3FY21; improved by 37% YoY; on account of better sales realisations and increased sale of value added products on YoY basis.

9M FY22-

• Revenue from operations was up 35% to Rs1284.1cr as compared to Rs.949.1cr in 9M FY21; led by higher sales volume and better sales realisation.
• Total sales volumes decreased by 4% to 1.92 lac tonnes as compared to 2.02 lac tonnes in 9M FY21. Primary reason for decrease in volume is extended monsoon period and wider price gap between primary steel and secondary steel due to which distributor’s and dealer’s has started doing destocking in Q3 FY 2022.
• EBITDA was up 37% to Rs70.66cr as compared to Rs51.50cr in 9M FY21; led by improvement in operating margins and increase in sale of value added products.
• EBITDA/ton at Rs.3689 in 9M FY22 vs. Rs 2545 in 9M FY21; improved by 45% YoY; on account of better sales realisations on YoY basis and increase in sale of value added products.

Commenting on the development, Ajay Kumar Bansal, Managing Director, Hi-Tech Pipes Ltd. said, “It was our dream to enter the biggest market of GP Pipes at Maharashtra & Goa. Today the dream has come true with starting of commercial production of GP Pipes at Khopoli unit. It will further expanding our portfolio of value-added products. In the recent quarter Q3FY22, our share of value-added products improved to 25% as compared to 18% during Q3FY21. We remain committed to further increase this share to 25-30% by Q4 FY22..

Our operational performance during 9M FY22 has been significantly better as compared to the last year led by higher volume of value added products and beter operations! efficiencies.

Q4 FY 2022 has started with robust demand and we are very optimistic that this financial year will set a benchmark for years to come.”

At around 2:10 PM, Hi-Tech Pipes was trading at Rs609 per share higher by 1.54% on Sensex.