Hariom Pipe Industries Limited — PPTs, 27-03-2025: Investor Presentation

**Financial Performance:** Hariom Pipe Industries has shown robust growth, with revenues reaching ₹115,319 lakh, marking a significant increase from ₹64,371 lakh in the previous year. The revenue CAGR is noteworthy at 64%. Profit margins improved with EBITDA growing to ₹12,656 lakh. In terms of volume, the company achieved total sales of 171,254 MT, reflecting strong demand for value-added products.

**Future Outlook and Growth Drivers:** Management highlighted plans for a 30% CAGR in volume growth over the next two years. This will be supported by enhancing production capacity, particularly in value-added products and penetrating tier 2 and tier 3 markets. Strengthening the dealer network across Western and Northern India is key to reaching these targets.

**Order Book and Operational Updates:** The company is investing in capacity expansions for MS Tubes and GP Pipes. The overall installed capacity has been enhanced to 701,232 MTPA. There are promising opportunities with a strategic focus on rural markets and a commitment to continuous innovation in production processes.

**Analyst Q&A Insights:** Analysts probed into revenue projections, with management explaining that increased capacity utilization and market penetration will drive profitability. Competitive dynamics were discussed, noting that while market conditions remain challenging, Hariom’s vertical integration offers a competitive edge. Analysts expressed concerns around raw material costs, but management remained confident in their ability to maintain margins through efficient operations.

**Market or Regulatory Updates:** The company is well-aligned with national initiatives promoting steel consumption, particularly as infrastructure developments continue across India.

**Strategic Focus Areas:** A consistent theme in management’s commentary was sustainability, with a focus on adopting renewable energy sources and advanced manufacturing technologies to optimize costs and reduce environmental impact.

**Investor Insight:** With strong financial health and a clearly defined growth strategy, the observed performance and outlook suggest a favorable investment sentiment. The company's proactive approach to expanding its customer base and innovative practices position it well for upcoming opportunities in the steel market.