Hariom Pipe Industries has outlined an ambitious solar power initiative alongside updated volume growth guidance for FY27, following a year in which the company deliberately prioritised profitability over volume expansion in FY26. The management's guidance was shared during a conference call with investors and analysts held on May 23, 2026, convened to discuss the audited financial results for the quarter and year ended March 31, 2026.

Solar Power Project: Key Details

Hariom Pipe Industries has announced a 60 MW solar power project with a total estimated cost of INR 241–245 crores. The project is being funded through a combination of INR 195 crores secured via bank loans and INR 25–30 crores in equity. As of the latest update, INR 9.56 crores have been invested in the project so far. The following table summarises the key parameters of the solar initiative:

Production from the initial 10 MW portion of the project is set to commence next month, with 38 MW currently under construction. The company is targeting full project completion by March 2027.

Management Guidance and Growth Strategy

The management emphasised that the lower volume growth recorded in FY26 was a conscious strategic decision, driven by a focus on maintaining profitability rather than pursuing aggressive volume targets. For FY27, the company is targeting sales volume growth of 20–25%, with an absolute volume target of 350,000 to 360,000 tons. Market conditions and margin preservation remain the key factors underpinning this outlook.

On the profitability front, management expects to sustain EBITDA ratios, reporting INR 7,258 per ton for FY26 and INR 7,800 per ton for Q4 FY26. The company is aiming for sustainable EBITDA margins in the range of 12.50% to 12.60%.

Conference Call Details

The investor and analyst conference call was held in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The audio recording of the call has been officially uploaded to the company's website and is accessible to all stakeholders. The filing was confirmed by Company Secretary Rekha Singh on behalf of the management.

Hariom Pipe Industries Limited has reported its audited financial results for the quarter and year ended March 31, 2026. The company recorded a standalone net profit of ₹30.18 crore for the quarter ended March 31, 2026, compared to ₹17.24 crore in the corresponding period of the previous year. For the full fiscal year 2026, the net profit stood at ₹75.83 crore, a 23% increase from ₹61.73 crore in FY25. Revenue from operations for the year ended March 31, 2026, rose to ₹1,666.95 crore from ₹1,357.05 crore in the previous year. The board has recommended a final dividend of ₹0.75 per equity share of face value ₹10 each for the financial year ended March 31, 2026, subject to shareholder approval.

Q4 Performance Highlights

The company's quarterly performance reflected strong year-on-year growth across key metrics. Q4 revenue stood at ₹507.27 crore compared to ₹399.70 crore in the same period of the previous year. EBITDA for the quarter stood at ₹63.87 crore versus ₹48.80 crore in the corresponding quarter, with the EBITDA margin expanding to 12.59% from 12.22% year-on-year. The following table summarises the key Q4 metrics:

Full-Year Financial Performance

The company's total income for FY26 increased to ₹1,680.15 crore from ₹1,359.94 crore in the previous year. Total expenses for the year were reported at ₹1,576.28 crore, up from ₹1,276.84 crore in FY25. The basic earnings per share (EPS) for the year improved to ₹24.49 from ₹20.25 in the prior year. Operating cash flow improved significantly to ₹192.08 crore, translating into approximately 92% EBITDA to cash conversion. The table below presents the full-year financial summary:

Operational and Corporate Developments

The company's performance during FY26 was supported by improved throughput across key manufacturing units and a continued focus on value-added products, which contributed around 98% of revenue. Working capital discipline strengthened, with inventory days reducing from 128 days to 99 days and receivable days reducing from 54 days to 41 days. Net Debt to EBITDA improved to 1.65x, while the Debt Equity Ratio stood at 0.54x as of March 31, 2026.

The Board of Directors approved the re-appointment of M/s. R Kabra & Co, LLP as Statutory Auditors for a second term of five years, subject to shareholder approval. Additionally, the board approved the re-appointment of M/s. Ravi Ladia & Co. as Internal Auditors for the financial year 2026-27. Mr. Yash Gupta has been re-designated as Vice President (VP) – Sponge Division as Senior Management Personnel effective May 22, 2026. The statutory auditors issued an audit report with an unmodified opinion on the standalone and consolidated financial results.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE00EV01017/dee72a48-b054-47e3-8582-6a1eb8d00cbe.pdf