₹25,350 Cr Order Book: Steel Stock Jumps 3% After Receiving ₹700 Cr Order From U.S.

Synopsis:  Pipe manufacturing company strengthened its business outlook after securing a major international pipe supply order, boosting long-term execution visibility and reinforcing confidence in demand across both domestic and overseas operations.

The shares of this midcap company majorly engaged in manufacturing Rebars, Ductile Iron (DI) Pipes, Stainless Steel Pipes, and Tubes & Bars were in focus after the company secured a sizable order from US. 

With the market capitalization of Rs. 35,539 Crores, the shares of Welspun Corp Ltd reached an intraday high of Rs. 1409 per share rising over 3 percent from its previous day close of Rs. 1363 per share and is trading at a P/E of 22.9, whereas the industry is 22.2

What is the NEWS

The company has announced the receipt of a significant LSAW pipe supply order valued at approximately Rs. 700 crore from its US facility, marking another strong addition to its international order pipeline. With the inclusion of this latest contract and previously secured orders, the company’s consolidated global order book has now expanded to nearly Rs. 25,350 crore, equivalent to around US$2.6 billion. The sizable order backlog provides strong revenue visibility and reinforces operational continuity for both its India and US manufacturing facilities.

Management highlighted that the current order book will be executed over FY27 and FY28, offering medium-term business stability and improving production visibility across geographies. The strong inflow of orders also reflects sustained demand for LSAW pipes in infrastructure, oil & gas, and energy-related projects, especially in international markets. 

A diversified execution pipeline across multiple regions is expected to support capacity utilisation, strengthen operational momentum, and provide continuity in the company’s core pipe manufacturing business over the next two financial years. 

About the Company and Financials

Welspun Corp is one of India’s leading pipe and infrastructure solution companies with a strong presence across global markets, including India and the US. The company operates diversified business verticals such as large diameter line pipes used in oil & gas transportation, ductile iron pipes for water infrastructure projects, Sintex-branded plastic and building material products, and WSSL, which manufactures stainless steel pipes, tubes, bars, and specialty alloy-based engineering solutions. 

Year on Year analysis: Revenue from operations has increased from Rs. 3614 Crores to Rs. 4532 Crores, up 25 percent. Operating profit has increased from Rs. 434 Crores to Rs. 616 Crores, up 42 percent and net profit has decreased  from Rs. 672 Crores to Rs. Rs. 456 Crores, down 32 percent 

Quarter on Quarter analysis: Revenue from operations has increased from Rs. 4374 Crores to Rs. 4532 Crores, up 3.6 percent. Operating profit has increased from Rs. 591 Crores to Rs. 616 Crores, up 4.2 percent and net profit has increased from Rs. 444 Crores to Rs. 456 Crores, up 2.7 percent 

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