Sales volume increased by 56% to 662 thousand tons in Q1 FY24 from 423 thousand tons in Q1 FY23.

For the period under review, EBITDA was Rs 307.2 crore (up 58% YoY) and EBITDA per ton was Rs 4,645 (up 1% YoY).

APL Apollo said that the ramp-up of New Raipur plant is on expected lines. The sales mix of value added products will improve in coming quarters with rising contribution of innovative products. The company is currently witnessing strong sales growth in the heavy structural steel tubes. The sales mix should eventually move towards 70% for value added products, it added.

Sanjay Gupta, chairman, APL Apollo, comments in Q1 FY24 results: “The company reported highest ever quarterly sales volume and healthy EBITDA in Q1 FY24. This was supported by our continuous focus on adding value added products (VAP) in our portfolio. The VAP contributed 57% to our overall sales volume in Q1 FY24.

Moreover the ramp up from our greenfield plant in Raipur will support sales volume/EBITDA growth in coming quarters. We continue to remain prudent with our working capital management which remains best in the building material sector.”

APL Apollo Tubes is India's leading structural steel tube manufacturer. The company operates 11 manufacturing facilities with a total capacity of 3.6 million tons.

The scrip declined 3.83% to currently trade at Rs 1469.45 on the BSE.