With its registered office in Chandigarh, JTL Industries Limited is one of the steel tube producers having manufacturing plants located in Chhattisgarh, Maharashtra, and Punjab.
The firm has a total capacity of around 5,86,000 MTPA for pipe production and about 3,00,000 MTPA for backward integration. The company is a reputable Star Export House with a range of products that serve various industrial and infrastructure needs, such as GI Pipes, MS Black Pipes, Hollow-sections, and Solar Structures. Hot dip galvanised, pre-galvanized, and uncoated (MS black) grades are all available for all of the products.
JTL Industries Stock Split
Pursuant to Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) 2015, we wish to inform you that pursuant to the shareholders’ approval obtained in the ExtraOrdinary General Meeting held on October 26, 2024, the Board of Directors of the Company has fixed record date as November 15, 2024 for the purpose of sub-division/split of 1 (one) Equity Share of the Company having face value of Rs. 2/- each into 2 (Two) Equity shares of the company having face value of Rs. 1/- each, said JTL Industries in a regulatory filing.
“In line with our commitment to enhancing shareholder value, we have undertaken a share split to improve the liquidity of the company’s shares and make them more accessible to small and retail investors. Each equity share with a face value of Rs 2 has been split into two equity shares with a face value of Rs 1. Following this split, our authorized share capital has increased to Rs 55.00 crores, while paid-up share capital now stands at Rs 39.31 crores. The split is expected to be completed within two months, following BoD and EGM approvals received on October 3 and October 26, 2024, respectively,” said Madan Mohan Singla. Managing Director of JTL Industries.
JTL Industries Financials
“In Q2 FY25, JTL Industries demonstrated resilience in its financial performance, achieving a total income of Rs 4,874 million. Although this reflects a slight decrease from Rs 5,051 million in Q2 FY24, we remain optimistic about our strategic initiatives and ongoing operational enhancements that will drive future growth. Our EBITDA for the quarter was Rs 377 million, reflecting our commitment to cost management and product focus, resulting in an EBITDA margin of 7.7%. Notably, our H1 FY25 EBITDA increased by 6.3% to Rs 815 million, showcasing our efforts to strengthen our financial foundation and operational efficiencies,” said Mr. Madan Mohan Singla. Managing Director of the company.
“We are pleased to report a PAT of Rs 264 million for Q2 FY25, with a PAT margin of 5.4%. Our year-to-date PAT increased by7.1% to Rs 571 million, highlighting our effective management strategies and our focus on sustainable growth. Notably, our sales volume reached 103,193 MT, marking a 26.32% growth compared to 81,686 MT in Q2 FY24. Value-added products constituted 25% of our total sales mix, contributing significantly to overall revenue,” he further added.
JTL Industries Growth Outlook
“Looking ahead, we remain optimistic about the continued demand for structural steel, bolstered by infrastructure investments and sustained project activity across key sectors. Our strategic positioning across both primary and secondary markets provides us with a unique advantage. In periods of strong demand, we experience steady growth across all product lines, allowing for balanced sales. When demand softens, our flexibility enables us to shift focus toward secondary products, ensuring consistent sales volume without margin pressure. This versatility allows us to effectively manage market fluctuations, providing resilience and a stable foundation for continued growth,” said the managing director.
JTL Industries Share Price Target
“With the phase-wise volume expansion in progress, we model Revenue/EBITDA/PAT CAGR of 33%/38%/33% over FY24-27E. Post Q2FY25 results, we cut our FY25/26 EBITDA estimates as we factor in lower EBITDA/t in line with the prevailing weak steel prices. We also trim our FY25/26 sales volume assumptions slightly. However, we roll forward our valuation to Sep’26 EPS from Mar’26 which results in our unchanged TP of Rs 260/share. We maintain our BUY rating on the stock and value JTL at 23x (Unchanged) of our Sep’26 EPS (from Mar’26) to arrive at our Sep’25 target price of Rs 260/share, implying an upside potential of 25% from the CMP,” said the research analysts of Axis Securities in a note.
