Hi-Tech Pipes Posts Record Volumes in Q2 FY26; Stock Rises 1.75%

New Delhi, October 1, 2025: Hi-Tech Pipes Limited (NSE: HITECH, BSE: 543411) has announced that it has registered record sales volumes for the second quarter and first half of FY26 despite headwinds from an extended monsoon. The movement in profits results in a surge in the company’s share price, boosting investors’ confidence in its growth and operations.

Hi-Tech Pipes Limited is one of India’s leading steel processing companies, engaged in the production of ERW steel pipes, hollow sections, tubes, cold rolled coils and strips, road crash barriers, solar mounting structures, GP and GC sheets, and color-coated coils. The company operates six integrated plants with a strong pan-India presence through a robust dealer and distributor network.

Record Sales Volume Performance

The company’s risks include a high debt-to-equity ratio of 2.91, dependence on a single facility in Tamil Nadu, and significant working capital requirements. Revenue concentration in the southern states also highlights geographic dependence, which impacts overall growth and diversification.

Management Commentary

Ajay Kumar Bansal, Chairman and Managing Director, stated:

“We are delighted to share that Hi-Tech Pipes has delivered its highest ever sales volume in Q2 and H1 FY26. This achievement, despite the extended monsoon season which traditionally impacts demand and logistics, underscores the resilience of our business model and the strength of our market presence. With capacity expansion projects almost nearing the completion stage, we are confident of delivering impressive volume growth in the foreseeable future.”

Strategic Outlook

The company highlighted that its ongoing capacity expansion projects are nearing completion, setting the stage to scale towards the 1 million tonne sales mark in FY26. Hi-Tech Pipes continues to strengthen its distribution network, with presence across more than 20 states and support from over 550 dealers and distributors.

Operational Footprint

The company has six integrated plants located in Uttar Pradesh, Gujarat, Andhra Pradesh, and Maharashtra, with a consolidated capacity of 750,000 MTPA. It plans to reach nearly 1 million tonnes by FY26. It has a significant presence, with over 550 dealers and direct marketing operations across more than 20 states.

Share Market Performance

Shares of Hi-Tech Pipes advanced after the announcement. As of 12:15 a.m. IST on October 1, 2025, the stock was trading 2.46% higher at ₹116.80, compared with the previous close of ₹114.00. The stock is currently trading at an intraday high of ₹116.93 and a low of ₹114.12.

At this level, the company’s market capitalisation stood at ₹2,354.22 crore, with a P/E ratio of 28.56. Trading volumes reached 421,000 shares, with delivery accounting for 30.35% of the traded quantity.

The counter has experienced significant fluctuations over the past year, ranging from a 52-week high of ₹208.00 (October 11, 2024) to a 52-week low of ₹84.80 (May 9, 2025).

REF: https://nsearchives.nseindia.com/corporate/HITECH_01102025093142_Press_Release_SALESVOLUME_01102025.pdf

Disclaimer: At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations