20% Upper Circuit: Steel stock soars after securing an order from PSTCL 

Synopsis: Shares of JTL Industries hit the upper circuit after securing a major order from Punjab State Transmission Corporation for manufacturing, fabricating, and galvanising 220kV transmission tower material and substation structure.

The shares of this company, engaged in the manufacture and supply of steel tubes, pipes, and allied products with manufacturing facilities in India, are in focus after it secured a key order. In this article, we will dive more into the details of it.

With a market capitalisation of Rs 2,343 crore, the shares of JTL Industries Ltd reached a day’s high of Rs 61.84 per share, up 20 percent from its previous day’s closing price of Rs 51.54 per share. Over the past five years, the stock has delivered a robust return of 312 percent, outperforming NIFTY 50’s return of 79 percent.

About the order

JTL Industries, through a stock exchange filing, announced that it has secured a significant order from Punjab State Transmission Corporation Limited (PSTCL). As part of this order, the company will be responsible for manufacturing, fabricating, and galvanising 220kV transmission tower material and substation structure, and is expected to be delivered by the end of FY26.

JTL Industries says this order strengthens its position in the power transmission infrastructure sector and highlights its capability to supply critical, high-quality components for large grid projects. 

The revenue from operations for JTL Industries stands at Rs 429 crores in Q2 FY26 compared to Q2 FY25 revenue of Rs 480 crores, down by 11 per cent YoY. Additionally, on a QoQ basis, it reported a decline of 21 percent from Rs 544 crore. The company derived a staggering 88 percent of its sales from domestic markets, while the remaining 12 percent sales is derived from exports.

The operating profit (EBITDA) per ton stands at Rs 4,247 in Q2 FY26 compared to Q2 FY25 EBITDA/ton of Rs 3,300, up by 29 per cent YoY. Additionally, on a QoQ basis, it reported a staggering growth of 83 percent from Rs 2,323. 

Coming down to its profitability, the company’s net profit stood at Rs 22 crore in Q2 FY26, down from Rs 26 crore in Q2 FY25, which is a decline of 15 percent YoY. However, on a QoQ basis, it reported a net profit of Rs 17 crore, which is a growth of 29 percent.

Coming down to its volumes, its Sales volumes declined by 10 percent to 81,593 MT in Q2 FY26 from 90,417 MT in Q2 FY25. Additionally, from its total mix, 63,377 MT is derived from commercial-grade products, while the remaining 18,216 MT is sourced from other value-added products.

JTL Industries Ltd is the flagship company of the Jagan Group, established in 1991. Headquartered in Chandigarh, JTL manufactures steel pipes and tubes and operates four plants across India. The company started with ERW black pipes but now produces a wide range of products, including galvanised steel pipes, solar mounting structures, and large steel tubes, among others. 

The company has a production capacity of 9.36 lakh MTPA in Pipe Manufacturing and 3 lakh MTPA in Backward integration. JTL supplies customers throughout India and exports to over 20 countries. With a portfolio of more than 1,200 products, a workforce of over 1,400 people, and a strong dealer network, they have established a significant presence in the market.

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