JTL Industries shares Q1 updates, reports highest quarter sales volume; shares fall

Shares of JTL Industries gave up its gains to trade lower on Tuesday after the company shared its quarterly business update during the day. The company reported a strong growth in terms of sales on a both quarterly and half yearly basis, with improvement in value-added products and exports.

JTL Industries has recorded its highest ever quarterly sales volume of 81,686 metric tonnes (MT) in July-September 2023 period (Q2FY24), exhibiting a strong growth of 56.78 per cent over Q2FY23 driven by robust demand for structural steel tubes and pipes in both domestic and international markets, said the company in its exchange filing.

Following the business update, shares of JTL Industries cracked about 5 per cent to Rs 221.95 on Tuesday, from its day's high at Rs 233 apiece. Its total market capitalization slipped below Rs 3,800 crore mark. The stock had settled at Rs 230.40 in the previous trading session on Friday.

Shares of JTL Industries have surged about 40 per cent in the last six months, while the stock has rallied about 45 per cent in the year 2023 so far. The stock has gained about 2,500 per cent from its Covid-19 lows. The stock had traded ex-bonus in the previous year.

The company achieved its highest ever first half yearly sales volume at 1,59,028 MT in first half of current fiscal year (H1FY24), demonstrating a robust growth of 54.66 per cent, compared to the year ago period. H1 FY23. "JTL witnessed a remarkable increase in sales of value-added products at 60,708 MT in H1 FY24, a 50.93 per cent growth from 40,221 MT in H1 FY23," it added.

Its quarterly sales figure for the value added products came in at 28,202 MT, up 14.63 per cent on a year-on-year (YoY) comparision. JTL reported a healthy export sales volume of 4,393 MT in the quarter ended on September 30, up 14.49 per cent compared to the same quarter previous year. Exports sales contributed 5.38 per cent of total sales volume for the quarter.

JTL Industries, formerly known as JTL Infra, is among the largest producer of electric resistance welded (ERW) steel pipes in India, with a capacity to produce more than 6 lakh metric tonnes per annum. It also exports its products to various offshore markets.

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