VMS TMT Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript VMS TMT Ltd filed with BSE on 24 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
VMS TMT reported total income of Rs 247.88 crore in Q1 FY27, up 16.16% year-on-year from Rs 213.39 crore in Q1 FY26, while EBITDA and PAT declined due to higher imported scrap costs following the Iran conflict. Management said its 15 MW captive solar power plant is partially operational, with 12 MW commissioned since August 7, and highlighted the proposed amalgamation of Aditya Ultra Steel Limited with VMS TMT, pending regulatory approvals. Management also discussed capacity utilization, dealer network expansion in Gujarat, and inventory levels, which they attributed partly to monsoon-related sales softness and higher-value product additions.
Numbers mentioned
Total income: Rs 247.88 crores (Q1 FY27)
p. 4
“total income for Quarter 1 Financial Year 27 stood at 247.88 crores compared with 213.39 crores in Quarter 1 of Financial Year 26, representing a 16.16% year-on-year growth”
Management, page 4 of the filed PDF · View the filing
TMT bar manufacturing capacity: 2 lakh metric tons annually
p. 3
“we have an integrated manufacturing setup with an annual capacity of 2 lakh metric tons for TMT bars and 2,16,000 tons for billets, which provides us with a strong platform for future growth”
Management, page 3 of the filed PDF · View the filing
Dealer count: 227 dealers
p. 3
“We market our products under the Kamdhenu brand across Gujarat through 3 distributors and 227 dealers”
Management, 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 attributed the margin compression to rising imported scrap prices linked to the Iran conflict, which outpaced TMT price increases.
Answered by Management
Asked by Purvesh Mehta: What caused the margin decline despite revenue growth in Q1?
p. 6
“Due to the recent Iran conflict, raw material prices -- scrap is our raw material which around 50%, 60% we are importing. So that's why the scrap prices has gone up.”
Management, page 6 of the filed PDF · View the filing
Management said the plant typically operates at around 80% utilization given operational hours versus installed 24-hour capacity, and this is being improved.
Answered by Management
Asked by Purvesh Mehta: What is the current utilization bottleneck for the plant?
p. 5
“See because the TMT the operational capacity is usually 80% is the ideal for that, because its capacity on the 24 hours basis and usually the plant operates 20-22 hours in three shifts.”
Management, page 5 of the filed PDF · View the filing
Management explained that while TMT sales quantity and price rose, scrap costs rose more due to a weaker rupee against the dollar on imported material.
Answered by Management
Asked by Riya Sharma: What impacted margins during the quarter despite revenue growth?
p. 7
“EBITDA has gone down due to the raw material is the imported scrap. Forex has big a hit in this quarter, because suddenly the dollar has gone up.”
Management, page 7 of the filed PDF · View the filing
Management said the merger would expand territory, dealer network, and purchasing scale, and reduce duplicated expenses, with results taking about six months post-merger.
Answered by Management
Asked by Riya Sharma: What benefits are expected from the proposed amalgamation with Aditya Ultra Steel?
p. 9
“Of course, after the merger and amalgamation, it will take another six months to merge and complete operations, but the results will be better.”
Management, page 9 of the filed PDF · View the filing
Management said imported scrap remains preferable to local scrap due to quality, volume reliability, and reduced complications, despite higher prices.
Answered by Management
Asked by Sandeep Goyal: Is imported scrap still economically viable given high prices?
p. 11
“Overall, imported scrap is better. There are many positive aspects to it. Overall, imported scrap is superior to local scrap.”
Management, page 11 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.