Scoda Tubes Limited reported a 22.4% increase in net profit to ₹38.8 crore for the financial year ended March 31, 2026, compared to ₹31.7 crore in the previous year. Revenue from operations for FY26 rose to ₹518.7 crore from ₹484.9 crore in FY25. The company’s EBITDA for the year stood at ₹76.2 crore, a marginal decline of 2.3% year-on-year, with an EBITDA margin of 14.7%. The Board of Directors approved the audited standalone financial results during a meeting held on May 26, 2026.

The statutory auditors, M/s. Dhirubhai Shah & Co LLP, issued an audit report with an unmodified opinion. The company noted a change in its depreciation method from the written down value (WDV) method to the straight line method (SLM), which reduced depreciation expenses by ₹156.66 crore for FY26. Additionally, the Board approved the cancellation of a proposed investment of EUR 7,000 in Arvind sp.z o.o. due to operational difficulties and regulatory constraints.

Full-Year Financial Performance

The following table summarises Scoda Tubes' standalone financial performance for FY26 against FY25:

Q4 Performance

For the quarter ended March 31, 2026, Scoda Tubes posted a net profit of ₹6.3 crore against ₹6.8 crore in the year-ago period, while revenue remained broadly stable at ₹123.6 crore versus ₹123.7 crore year-on-year. EBITDA for the quarter declined to ₹16.7 crore from ₹17.4 crore in the corresponding period last year, with the EBITDA margin narrowing to 13.5% from 14.1% year-on-year.

Key Developments

The company completed its Initial Public Offer (IPO) in June 2025, issuing 15,714,200 equity shares at ₹140 per share, aggregating to ₹2,200 million. Consequently, comparative figures for periods prior to the year ended March 31, 2025, are presented for the first time. The trading window for designated persons remains closed until 48 hours after the declaration of financial results.

Pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, Scoda Tubes Limited submitted the audio recording of the earnings update call held on May 28, 2026. The link to the recording is available on the company's website.

Future Outlook

Management expects a 25% revenue growth in FY27 with EBITDA margins between 14% and 15%. The seamless capacity has increased to 20,000 metric ton per annum, and a new welded facility is expected to be operational by H2 FY27. The company is installing 8.79-megawatt DC of solar capacity to offset high electricity consumption, targeting annual savings of ₹8.63 crore.

Scoda Tubes Limited has secured approval from the Gujarat Energy Development Agency (GEDA) for establishing a ground-mounted solar project under the Gujarat Integrated Renewable Energy Policy-2025. The company informed stock exchanges about this significant development through a regulatory filing under Regulation 30 of SEBI Listing Regulations.

Project Specifications and Location

The approved solar project will have a capacity of 3 MW (AC)/3.8 MW (DC) and will be located at Survey no. 295, Village Mudana, Ta-Sidhpur, Dist-Patan, with Consumer No. 20301. The installation is designed as a captive generating plant for the company's own consumption needs.

Financial Investment and Cost Structure

The solar project represents a substantial investment for Scoda Tubes Limited, with detailed cost and generation projections outlined in the company's filing.

Expected Generation and Savings

The solar project is projected to deliver significant electricity generation and cost savings for the company's operations.

Regulatory Compliance and Policy Framework

The project approval comes under the Gujarat Integrated Renewable Energy Policy-2025, demonstrating the company's alignment with state government initiatives for renewable energy adoption. GEDA, as a Government of Gujarat organization, has provided the necessary clearance for the project implementation.

Strategic Impact

This solar project represents Scoda Tubes Limited's commitment to sustainable energy practices and cost optimization. The annual savings of Rs. 3.76 crore in electricity bills will contribute positively to the company's operational efficiency and bottom line. The project's captive nature ensures that the generated power will directly support the company's manufacturing operations.