Profit before tax stood at Rs 340.8 crore in Q2 FY24 as compared with pre-tax loss of Rs 71.7 crore recorded in Q2 FY23.

The company reported EBITDA of Rs 501.5 crore in Q2 FY24, steeply higher than Rs 45.8 crore posted in Q2 FY23.

Sales volumes of line pipes stood at Rs 202 KMT (up 36.49% YoY), SS Bars was at 5,351 KMT (up 395% YoY), DI PIPES was 46 KMT (up 1433.33% YoY) while SS pipes stood at 1,209 MT (up 19.82% YoY).

On half year basis the company reported net profit of Rs 550.1 crore in H1 FY24 as against net loss of 52.5 crore recorded in H1 FY23. Revenue from operations soared 147.40% YoY to Rs 8128.7 crore in H1 FY24.

B. K. Goenka, chairman, Welspun Group, “Strong operational performance helped in sharp reduction in our debt level, thereby strengthening the balance sheet further. While, performance of our Pipe Solutions vertical has been steady backed by strong execution capabilities, performance of our Building Material segment has been improving gradually. With its iconic brand presence, Sintex has taken a step ahead to foray into PVC Pipes segment in the State of Telengana.

Along with focus on its existing business, foray into Pipes segment has been a step in the desired direction to unlock high potential value creation in Sintex. Our DI Pipes segment also has been ramping up well as per our expectations along with TMT Rebars. Stainless Steel Bars and Pipes has turned around completely with strong upside potential.”

Meanwhile, the company has entered into an arrangement for supply of renewable energy under Group Captive Structure with Mounting Renewable Power (MRPL), subsidiary of Welspun New Energy (WNEL).

The board has approved after due evaluation of various proposals presented, an investment not exceeding Rs 44.25 crore holding approximately 21.54% equity share capital in MRPL and remaining around 51.00% and around 27.46% shareholding in MRPL will be with Welspun New Energy (WNEL), a related party of the company, and another group captive power consumer viz. Welspun Living (WLL), respectively.

MRPL, a Special Purpose Vehicle, will set up a 42 MW Renewable Energy Round-TheClock (Re-RTC) project to generate energy from wind and solar for the company’s Anjar operations at most competitive rates which will make the company’s Anjar Unit about around 55% RE by the financial year 2026 with a reduction in the cost of power. It would be a significant step towards the company’s journey towards clean and renewable energy.

Further, the company has decided to expand its Ductile Iron (DI) Pipes capacity by 100 KMTPA in Anjar, which will take the total DI Pipes capacity to 500 KMTPA. The expansion of DI Pipes will be completed within 12 months and the investment required is Rs 300 crore. The company will raise Rs 210 crore through debt and remaining Rs 90 crore will contribute by promoters of the company.

Welspun Corp is engaged in the business of production and coating of high grade submerged arc welded pipes, hot rolled steel plates and coils.

The scrip hit an all time high at Rs 496.25 in intraday today.