Hi-Tech Pipes Limited announced its unaudited financial results for the third quarter and nine months ended December 31, 2025, delivering record quarterly performance with strong revenue growth despite margin pressures. The Board of Directors approved the results in their meeting held on February 07, 2026.

Record Quarterly Performance Drives Growth

The company achieved its highest-ever quarterly performance with consolidated revenue from operations reaching ₹1,069.59 crore compared to ₹761.02 crore in the corresponding quarter of the previous year. This represents a substantial year-on-year increase of 41%, supported by strong volume growth and operational expansion. Total sales volumes increased by 10% to 1.36 lakh tonnes in Q3FY26 compared to 1.24 lakh tonnes in Q3FY25.

Nine-Month Performance Shows Consistent Growth

For the nine-month period ended December 31, 2025, Hi-Tech Pipes maintained steady growth momentum. Consolidated revenue from operations increased by 17% to ₹2,719.72 crore from ₹2,333.89 crore in the corresponding period last year. Total sales volumes grew by 4% to 3.85 lakh tonnes compared to 3.69 lakh tonnes in 9MFY25.

Margin Pressure Despite Volume Growth

While the company achieved record revenue and volume growth, profitability faced headwinds during the quarter. EBITDA per tonne decreased by 5% to ₹3,078 per MT in Q3FY26 compared to ₹3,238 per MT in Q3FY25. The decline in profitability was attributed to softer Hot Rolled Coil (HRC) prices, which impacted margins despite improved operational leverage.

Capacity Expansion and Strategic Developments

The company announced the commencement of commercial production at its Sanand Unit-2 Phase II and the Jammu (Kathua) facility, with the Sikandrabad facility expected to follow shortly. These expansions significantly enhance the company's scale and product mix, with installed capacity nearing 1 million tonnes. The Board also approved entering into a Non-Compete Agreement with Hi-Tech Flow Solutions Limited to clearly demarcate respective business domains.

Management Commentary and Outlook

Chairman and Managing Director Ajay Kumar Bansal commented on the performance, stating that the company delivered its highest-ever quarterly performance with revenues growing 41% year-on-year. He noted that while EBITDA improved modestly, profitability was impacted by softer HRC prices. The management remains focused on strengthening operating leverage and improving margins, with demand supported by infrastructure, renewable energy projects, and export opportunities positioning the company for sustained long-term growth.

Hi-Tech Pipes has successfully commenced production operations at its new manufacturing facility in Kathua, Jammu, marking a significant milestone in the company's expansion strategy. This development represents a strategic move to strengthen the company's presence in northern India's growing industrial market.

New Manufacturing Facility Details

The newly operational plant brings substantial manufacturing capabilities to the company's portfolio. Key specifications of the facility include:

Strategic Market Positioning

The Kathua facility's location has been strategically chosen to cater to the northern markets, providing the company with enhanced logistics advantages and reduced transportation costs for serving customers in this region. The 80,000 metric tonnes per annum capacity significantly expands the company's overall production capabilities.

Focus on Value-Added Products

The company has positioned this new facility to manufacture value-added products, which is expected to contribute positively to profit margins. This strategic approach aligns with the company's objective to move beyond commodity products and establish a stronger foothold in higher-margin segments of the steel pipes market.

Business Impact

The commencement of production at the Kathua plant represents a key operational achievement for Hi-Tech Pipes. The facility's substantial capacity and strategic location are expected to enhance the company's ability to serve northern Indian markets more effectively while pursuing higher-value product segments to boost overall profitability.