This small-cap stock engaged in manufacturing and supplying steel line pipes and related products, serving the oil & gas and water infrastructure sectors globally, jumped 9 percent after the company reported March quarterly results with a 143.38 percent YoY increase in net profit and announced a dividend of Rs. 5 per equity share.
With a market capitalization of Rs. 23,330.67 crores, the share of Welspun Corp Limited has reached an intraday high of Rs. 887.20 per equity share, rising nearly 9.01 percent from its previous day’s close price of Rs. 813.85. Since then, the stock has retreated and is currently trading at Rs. 886.35 per equity share.
Q4 FY25 Result Walkthrough
Coming into the quarterly results of Welspun Corp Limited, the company’s consolidated revenue from operations decreased by 12.02 percent YOY, from Rs. 4,461.17 crore in Q4 FY24 to Rs. 3,924.97 crore in Q4 FY25, and grew by 8.62 percent QoQ from Rs. 3,613.51 crore in Q3 FY25.
Welspun Corp Limited generated 84.24 percent of its revenue from steel product sales and 15.76 percent from other income, including plastic product sales, in Q4 FY25.
In Q4 FY25, Welspun Corp Limited’s consolidated net profit increased by 143.38 percent YOY, reaching Rs. 699.19 crore compared to Rs. 287.28 crore during the same period last year. As compared to Q3 FY25, the net profit has increased by 4.02 percent, from Rs. 672.19 crore. The basic earnings per share increased by 159.55 percent and stood at Rs. 26.63 as against Rs. 10.26 recorded in the same quarter in the previous year, 2024.
Dividend: The Welspun Corp. board of directors has recommended paying a final dividend at the rate of 100 percent on the face value of paid-up equity shares of Rs. 5 each for the financial year 2024-25, which is a dividend of Rs. 5 per equity share.
FY25 Result: Welspun Corp Limited’s revenue has decreased from Rs. 17,339.60 crore in FY24 to Rs. 13,977.54 crore in FY25, which is a drop of 19.39 percent. The net profit has grown by 67.45 percent, from Rs. 1,136 crore in FY24 to Rs. 1,902.28 crore in FY25.
Order Book: Welspun Corp Limited has a strong order book worth around Rs. 19,553 crore. This includes 1,003 KMT of line pipes, 353 KMT of ductile iron (DI) pipes, and 9,025 metric tonnes of stainless steel (SS) bars and pipes.
Guidance: For FY26, Welspun Corp Limited expects its revenue to grow by 25.20 percent to Rs. 17,500 crore, up from Rs. 13,978 crore in FY25. The company also aims to increase its EBITDA by 18.41 percent to Rs. 2,200 crore. It plans to maintain a strong return on capital (ROCE) above 20 percent, close to last year’s 21 percent.
Welspun Corp Limited (WCL) is a leading Indian multinational company specializing in pipe solutions and building materials. The company is the flagship company of Welspun World and is recognized as one of the largest manufacturers of large-diameter pipes globally, with a presence across six continents and over fifty countries.
Welspun Corp has a strong manufacturing presence in India with facilities located in Anjar (Gujarat), Bhopal (Madhya Pradesh), Mandya (Karnataka), and Jhagadia (Gujarat). Internationally, the company operates a manufacturing facility in Little Rock, Arkansas, USA.
Written By – Nikhil Naik
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