Beekay Steel Industries Ltd has officially commenced commercial production at its new manufacturing facility in Cuttack, Odisha, marking a significant expansion of its operational capacity. The company made this announcement in a regulatory filing to the Bombay Stock Exchange (BSE) on September 8, 2025.

New Facility Details

The new manufacturing unit, referred to as the "Cuttack Unit," is located at Rampei, P.O.- Khuntuni, Athagarh, Dist - Cuttack - 754029, Odisha. This facility represents a strategic move by Beekay Steel to strengthen its presence in the eastern region of India.

Production Divisions

The Cuttack Unit operates across four key divisions, each catering to different aspects of steel production:

Significance of the Expansion

This expansion is a result of Beekay Steel's acquisition of assets from Maheshwari Ispat Ltd at Khuntuni, Dist Cuttack, Odisha. The commencement of commercial production at this new facility is expected to significantly boost the company's production capabilities and market presence in the domestic steel sector.

Market Impact

The addition of this new manufacturing facility, with its diverse product range and substantial production capacities, positions Beekay Steel to better serve the growing demand in the domestic steel market. The company's ability to produce billets, TMT bars, and ferro alloys, along with its own power generation capacity, indicates a move towards vertical integration and potentially improved operational efficiency.

Beekay Steel Industries Ltd, an ISO 9001:2015 certified organization, continues to expand its footprint with works now operational in Jamshedpur, Vishakapatnam, Chennai, and the newly added Cuttack unit. This latest development underscores the company's commitment to growth and its strategic vision in the steel industry.

Investors and stakeholders will likely be watching closely to see how this new facility impacts Beekay Steel's market position and financial performance in the coming quarters.

Beekay Steel Industries , a prominent player in the steel industry, has released its financial results for the fourth quarter, revealing a mixed performance with increased revenue but decreased profitability.

Revenue Growth Amidst Profitability Challenges

The company reported a significant increase in revenue, which rose to ₹3.30 billion from ₹2.54 billion in the same quarter of the previous year, marking a substantial year-over-year growth of 29.92%. This uptick in revenue suggests strong sales performance and potentially increased demand for the company's products.

Profitability Metrics Under Pressure

Despite the revenue growth, Beekay Steel Industries faced challenges in maintaining its profit margins:

• EBITDA: The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) decreased to ₹296.40 million from ₹336.00 million year-over-year, a decline of 11.79%.
• EBITDA Margin: The EBITDA margin saw a significant drop, falling to 8.97% from 13.26% in the same period last year, a decrease of 4.29 percentage points.
• Net Profit: Consolidated net profit declined sharply to ₹53.30 million from ₹364.00 million year-over-year, representing a decrease of 85.36%.

Quarterly Improvement in Net Profit

While the year-over-year comparison shows a decline in net profit, it's worth noting that the company's performance improved on a sequential basis. The net profit of ₹53.30 million in Q4 represents an increase from ₹201.50 million in the previous quarter, indicating a potential turnaround in the company's short-term profitability trajectory.

Financial Performance Overview

To better visualize the company's Q4 performance, here's a summary of the key financial metrics:

The financial results paint a picture of a company experiencing strong top-line growth but facing challenges in maintaining profitability. The significant increase in revenue, coupled with the decline in EBITDA and net profit, suggests that Beekay Steel Industries may be dealing with increased costs or competitive pressures in the market.

As the steel industry continues to navigate global economic uncertainties and fluctuating raw material prices, Beekay Steel Industries' ability to manage costs and improve operational efficiency will be crucial for its future performance.