Steel stock jumps 5% after securing supply order worth ₹174 Cr for pipes

The shares of a Small-Cap company, specializing in the manufacturing and sale of steel pipes and lighting products, jumped upto 5 percent upon securing an order from a leading Construction & Infrastructure Development Company worth Rs. 174.78 crore.

With a market capitalization of Rs. 7,438.79 crores on Wednesday, the shares of Surya Roshni Ltd jumped upto 5.4 percent, making a high of Rs. 345.00 per share compared to its previous closing price of Rs. 327.15 per share.

Surya Roshni Ltd, engaged in the manufacturing and sale of steel pipes and lighting products, has received a new work order from a leading Construction & Infrastructure Development Company for Rs. 174.78 crore.

The contract involves the supply of MS Spiral Coated Pipes to be delivered within Gujarat, and the execution timeline for the project is 24 weeks. This development reflects the company’s growing footprint in the infrastructure sector and its capability in handling large-scale industrial supply contracts.

Financials & Others

The company’s revenue rose by 3.23 percent from Rs. 2,087.36 crore to Rs. 2,154.88 crore in Q4FY24-25. Meanwhile, the Net profit rose from  Rs. 103.92 crore to  Rs. 130.09 crore during the same period.

The company has a P/E ratio of 20.47, which is lower than the industry average of 36.28, indicating potential undervaluation. It is a debt-free company, reflecting strong financial stability. Additionally, it has delivered a 3-year average net profit growth of 17.11%, showcasing consistent performance and growth.

Surya Roshni Ltd, established in 1973, is a well-respected and trusted brand in steel pipes, lighting, consumer durables (FMEG), and PVC pipes across India and globally. Known for its leadership in value-added products, the company offers a wide product range supported by a strong distribution network reaching even rural markets. 

It offers a wide range of steel pipes and strips, including Galvanized Iron (GI) pipes, Electric Resistance Welded (ERW) pipes (also API-certified), and cold-rolled strips. These products are widely used across agriculture, infrastructure, oil & gas, water supply, and construction sectors, catering to both domestic and international markets.

In the lighting and consumer durables segment, SURYA provides conventional and LED lighting solutions, including GLS lamps, FTLs, and LED lamps, as well as professional lighting systems like streetlights and industrial lighting. The company also manufactures fans (ceiling, table, pedestal, and wall-mounted) and a variety of home appliances such as mixer grinders, induction cooktops, water heaters, and air coolers.

Written by Sridhar J

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