Sambhv Steel Tubes Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Sambhv Steel Tubes Ltd filed with BSE on 08 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Sambhv Steel Tubes reported its highest ever quarterly performance in Q1 FY27, with revenue growing 31%, EBITDA growing 31%, and PAT growing 70% year-on-year. Management attributed the growth to higher sales volume, a 27% increase in value-added product volume, and improved realizations across MS pipe, GP pipe, and stainless-steel segments. The company also disclosed progress on its Kesda and Kuthrel Unit 2 capacity expansions, a rooftop solar project, and a proposed INR100 crore preferential warrant issuance.
Numbers mentioned
Revenue: INR732 crores (Q1 FY27)
p. 4
“Achieved revenue of INR732 crores, total EBITDA of INR100 crores, and PAT of INR56 crores.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
EBITDA: INR100 crores (Q1 FY27)
p. 4
“Achieved revenue of INR732 crores, total EBITDA of INR100 crores, and PAT of INR56 crores.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
PAT: INR56 crores (Q1 FY27)
p. 4
“Achieved revenue of INR732 crores, total EBITDA of INR100 crores, and PAT of INR56 crores.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
EBITDA margin: 13% (Q1 FY27)
p. 4
“EBITDA margin remained strong at 13%, while PAT margin improved to over 7%, reflecting the benefit of high realization in value-added products.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
Revenue growth: 31% (Q1 FY27 year-on-year)
p. 3
“Sambhv delivered its highest ever quarterly financial performance, with growth of revenue by 31%, EBITDA by 31%, and PAT by 70%.”
Vikas Kumar Goyal, page 3 of the filed PDF · View the filing
Sales volume growth: 16% (Q1 FY27 year-on-year)
p. 4
“Sales volume grew by 16% year-on-year, while value-added products volume increased by 27% year-on-year.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
EBITDA per ton excluding sponge iron sales: INR10,000 per ton (Q1 FY27)
p. 4
“This reflects our continued focus on superior product mix and higher margin value-added products and resulted in 19% year-on-year increase in EBITDA to INR10,000 per ton, excluding sponge iron sales.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
Stainless steel CR coil capacity after debottlenecking: 1,16,000 tons per annum
p. 3
“Our debottlenecking initiative has doubled our production capacity from 58,000 tons per annum to 1,16,000 tons per annum.”
Vikas Kumar Goyal, page 3 of the filed PDF · View the filing
MOU partners under co-branding initiative: 28 partners
p. 4
“We also signed 18 new MoUs under the Sambhv co-branding initiative for stainless steel pipe making, now taking total base to 28 partners.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
Rooftop solar power plant investment: INR25 crores
p. 4
“This INR25 crores investment will reduce our power cost and increase the use of renewable energy.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
Preferential warrant issuance amount: INR100 crores
p. 4
“The board has also approved a preferential issue of fully convertible warrants raising up to INR100 crores to support our growth plan.”
Vikas Kumar Goyal, page 4 of the filed PDF · View the filing
Net realization MS pipe and tube: INR60,000 per ton (Q1 FY27)
p. 14
“So it will be in Q1 for MS pipe and tube, it will be around INR60,000 per ton average.”
Vikas Kumar Goyal, page 14 of the filed PDF · View the filing
Net realization SS 300: INR2,00,000 to INR2,10,000 per ton (Q1 FY27)
p. 14
“For SS 200, we have achieved around INR1,40,000, and for SS 300, we have around INR2,00,000 to INR2,10,000 per ton average realization for Q1 FY27.”
Vikas Kumar Goyal, page 14 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
EBITDA per ton — INR7,500 to INR8,500 · Q2 FY27
stated firmly by Vikas Kumar Goyal
p. 7
“Secondly, in terms of Q2, we believe our EBITDA margin will be in terms of INR7,500 to INR8,500, so that is the range we would like to give for Q2 numbers.”
Vikas Kumar Goyal, page 7 of the filed PDF · View the filing
Revenue growth — 10% to 15% over the base of 2026 · FY27
stated firmly by Vikas Kumar Goyal
p. 7
“In terms of overall 2027 numbers that you have been asking is we believe we will be very much comfortable achieving the EBITDA margin per ton in the range of INR7,500 to INR8,500, with again the revenue growth of 10% to 15% over the base of 2026 and EBITDA growth of again 10% to 15% over 2026 number.”
Vikas Kumar Goyal, page 7 of the filed PDF · View the filing
Term debt and working capital debt — INR800 crores to INR850 crores term debt and INR200 crores to INR300 crores working capital debt · end of FY27
stated firmly by Vikas Kumar Goyal
p. 5
“we will have around INR800 crores to INR850 crores of term debt and INR200 crores to INR300 crores of working capital debt by end of FY27.”
Vikas Kumar Goyal, page 5 of the filed PDF · View the filing
Kesda plant commissioning — trial run and production · Q4 FY27
stated conditionally by Vikas Kumar Goyal
p. 6
“We are pretty much optimistic to start the trial run and the production by Q4 '27.”
Vikas Kumar Goyal, page 6 of the filed PDF · View the filing
Supply volume to MOU holders — around 2,500 tons · end of this year
stated as an aspiration by Vikas Kumar Goyal
p. 7
“Currently, we are supplying approximately 1,200 tons of material to these partners, and our target is to reach a supply volume of around 2,500 tons to MOU holders by the end of this year.”
Vikas Kumar Goyal, page 7 of the filed PDF · View the filing
MS pipe price stabilization — 3% to 5% downward · this financial year
stated conditionally by Vikas Kumar Goyal
p. 10
“So price is going to be stabilized, let's say, around, let's say, another 3% to 5% downward for this financial year we are looking at where the price will stabilize.”
Vikas Kumar Goyal, page 10 of the filed PDF · View the filing
Stainless steel margin — INR15,000 to INR16,000 per ton · this financial year
stated firmly by Vikas Kumar Goyal
p. 10
“In terms of margin, we given guidance of around INR15,000 to INR16,000 per ton for this financial, which we will continue to.”
Vikas Kumar Goyal, page 10 of the filed PDF · View the filing
Additional working capital requirement — INR200 crores for FY28 and INR300 crores for FY29 · FY28 and FY29
stated firmly by Vikas Kumar Goyal
p. 14
“I am saying INR200 crores additional working capital for FY28 and INR300 crores for FY29.”
Vikas Kumar Goyal, page 14 of the filed PDF · View the filing
EBITDA margin — around 12% with standard deviation of 1% or 2% · FY27
stated firmly by Vikas Kumar Goyal
p. 15
“Secondly, in terms of margin, for FY27, we would give a margin guidance of around 12% with a deviation or standard deviation of 1% or 2%.”
Vikas Kumar Goyal, page 15 of the filed PDF · View the filing
PAT margin — 6% with standard deviation of 1% · FY27
stated firmly by Vikas Kumar Goyal
p. 15
“In terms of PAT, we want to give a guidance of 6% with a standard deviation of 1%.”
Vikas Kumar Goyal, page 15 of the filed PDF · View the filing
Kesda plant capex — INR930 crores · this year
stated firmly by Vikas Kumar Goyal
p. 16
“Yes, so currently for the Kesda plant, which is currently the INR930 crores, so most of the money will be deployed in this year itself.”
Vikas Kumar Goyal, page 16 of the filed PDF · View the filing
Captive power plant capacity and savings — 150 megawatts and INR180 crores to INR200 crores power cost saving · by 2030
stated as an aspiration by Vikas Kumar Goyal
p. 18
“If you see, by 2030, we wanted to achieve approximately 150 megawatts of captive power plant, out of which currently we are having 25, and the capex that we announced, it will take up to 88 megawatts.”
Vikas Kumar Goyal, page 18 of the filed PDF · View the filing
EBITDA growth — 10% to 15% incremental over INR270 crores operating EBITDA · FY27
stated firmly by Vikas Kumar Goyal
p. 18
“We wanted to give a guidance of 10% to 15% incremental over there for this particular financial year 2027.”
Vikas Kumar Goyal, page 18 of the filed PDF · View the filing
Total finished product capacity — over 2 million tons per annum · by 2030
stated as an aspiration by Vikas Kumar Goyal
p. 3
“We continue to make steady progress on our capacity expansion roadmap and remain on track to increase our total finished product capacity from 0.68 million tons per annum to over 2 million tons per annum by 2030.”
Vikas Kumar Goyal, page 3 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management guided to term debt of INR800-850 crores and working capital debt of INR200-300 crores by end of FY27, with cost of debt between 7.5% and 8%.
Answered by Vikas Kumar Goyal
Asked by Manoj Reddy: What will peak debt and finance cost look like after the Kesda capacity expansion?
p. 5
“Currently, we are operating below 8%. So our cost of debt is in between 7.5% to 8% right now.”
Vikas Kumar Goyal, page 5 of the filed PDF · View the filing
Management said it is not an enabling provision, and the funds will go toward capex in the subsidiary, working capital, and other announced expansions.
Answered by Vikas Kumar Goyal
Asked by Aashish: What is the purpose of the INR100 crore warrant fund raise?
p. 6
“No, it is not an enabling provision. Promoter family is serious about putting INR100 crores through warrant issuance and management also participating into it.”
Vikas Kumar Goyal, page 6 of the filed PDF · View the filing
Management said 90% of production is in 200 series with low nickel requirement, sourced through nickel scrap, reducing exposure to nickel price fluctuation.
Answered by Vikas Kumar Goyal
Asked by Dhananjai: Is the company facing nickel price pressure like other stainless steel players?
p. 10
“So we are not dependent on nickel-plated iron per se for our production, so that is why we are little bit immune to price fluctuation from nickel market.”
Vikas Kumar Goyal, page 10 of the filed PDF · View the filing
Management said stainless-steel production has peaked for now, expects monsoon-related softness in Q2, and is being conservative given anticipated price softness from QCO relaxation.
Answered by Vikas Kumar Goyal
Asked by Rucheeta: Why is EBITDA growth guided at only 10-15% given capacity additions and stainless steel mix shift?
p. 18
“We wanted to give a guidance of 10% to 15% incremental over there for this particular financial year 2027.”
Vikas Kumar Goyal, page 18 of the filed PDF · View the filing
Management said the bottom-out figure was around INR10,000 per ton as seen in Q3 FY26, while the regular run-rate has been around INR15,000 for recent quarters.
Answered by Vikas Kumar Goyal
Asked by Rucheeta: What EBITDA per ton range is expected on the lower side for stainless steel given competitive pressures?
p. 19
“Yes, so on the bottom side if I see for the stainless steel itself, the bottom-out number for EBITDA for stainless steel itself is around 10,000, which I think in Q3 FY26 we have shown, but the regular number that we have shown and looking at the numbers, it is around 15,000 for last three-four quarters.”
Vikas Kumar Goyal, page 19 of the filed PDF · View the filing
Risks flagged
Monsoon-related moisture in raw materials and demand slowness expected to soften Q2 performance
p. 18
“In terms of number monsoon effect per se, so it will be there because there is moisture in the raw material, there is price softness in the market, demand slowness in the market, so Q2 may be looks a bit dampener”
Vikas Kumar Goyal, page 18 of the filed PDF · View the filing
Stainless steel pricing competition expected to increase once shipments resume amid QCO relaxation allowing imports outside BIS compliance
p. 19
“So, you know, when we are coming under BIS compliances, the Chinese import, all other imports are not coming under BIS compliances, so there is a bit, you can say, anomaly in terms of playground.”
Vikas Kumar Goyal, page 19 of the filed PDF · View the filing
Shipment delays for stainless steel due to war situation affecting ship availability
p. 10
“In terms of stainless steel, though the QCO framework has been extended, but because of the war situation, the shipments is getting delayed, the ships' availability is not there”
Vikas Kumar Goyal, page 10 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.