Sambhv Steel Tubes Records Highest-Ever Value-Added Product Sales in Q1

Mid-tier steel manufacturer Sambhv Steel Tubes Limited has achieved its highest-ever quarterly sales volume for value-added products during the first quarter of the 2026-27 fiscal year ended June 30, 2026. The volume acceleration was driven by strong demand in the Pre-Galvanised (GP) Coils & Pipes and Stainless Steel Coils segments.

The company successfully shifted its sales mix toward premium, high-margin products, maintaining overall volume stability despite global supply chain disruptions arising from ongoing international conflicts that heavily impacted the broader domestic steel industry.

High-Value Products Drive Volume Expansion

For the first quarter of the fiscal year, Sambhv Steel Tubes clocked total sales volumes of 1,07,771 tons, registering a year-on-year growth of 16.25% against the 92,706 tons shipped during the corresponding period of the prior year. Sequentially, overall sales volume remained flat compared to the 1,07,785 tons recorded during the fourth quarter ended March 31, 2026.

The standout performer was the company's Value-Added Products division, which saw combined shipments jump to 1,01,191 tons in the June quarter. This reflects a substantial 26.94% increase over the 79,717 tons moved in the first quarter of the previous year, and a sequential increase of 5.63% over the 95,797 tons logged in March 2026.

A granular breakdown of the value-added segment highlights distinct performance across product lines:

Structural Pipes and Tubes: Shipments (which include electric resistance welded black pipes, galvanized iron pipes, and cold rolled full hard pipes) stood at 56,617 tons for the quarter. This is a 12.57% annual growth over the 50,294 tons shipped in June 2025, but a sequential decrease of 3.64% against the 58,755 tons recorded in March 2026.

Pre-Galvanised (GP) Coils and Pipes: Sales volumes surged to 29,814 tons, representing an annual growth of 49.19% from 19,984 tons in June 2025 and a sequential growth of 30.44% from 22,857 tons in March 2026.

Stainless Steel Coils: Volumes jumped 56.37% year-on-year to touch 14,760 tons, up from 9,439 tons in the prior-year period. Sequentially, the segment expanded by 4.05% over the 14,185 tons recorded in the previous quarter.

Concurrently, sales of lower-margin Intermediate Products (comprising sponge iron, steel blooms, slabs, and hot rolled coils) dropped significantly as the company prioritized higher-value manufacturing lines. Intermediate volumes closed at 6,580 tons for the quarter, down 49.34% year-on-year from 12,989 tons and down 45.11% sequentially from 11,988 tons. Looking back at full-year baselines, the company closed the complete 2025-26 fiscal year with a grand volume total of 3,96,731 tons, up from 290,581 tons in the 2024-25 fiscal cycle.

Backward Integration and Asset Capacity

Sambhv Steel Tubes operates as one of India's prominent manufacturers of electric resistance welded (ERW) steel pipes and hollow-section structural tubes in terms of total installed capacity. The enterprise relies on an extensive in-house backward integration model, which allows it to manufacture specialized raw inputs such as sponge iron, steel blooms, slabs, hot rolled coils, and cold rolled coils. These are used internally to build finished lines like ERW black pipes, cold rolled full hard pipes, and steel door frames.

The corporation is also among a highly restricted circle of Indian manufacturers producing stainless steel coils via integrated captive channels. It maintains localized capabilities to process stainless steel blooms and slabs, which are consumed internally to manufacture hot rolled coils, hot rolled annealed pickled (SS HRAP) coils, and cold rolled coils.

The company's industrial operations are centered across two production facilities based in Chhattisgarh at Village Sarora and Village Kuthrel. The combined manufacturing assets represent an installed capacity of 350,000 metric tonnes per annum (MTPA) for ERW pipes and tubes, 116,000 MTPA for pre-galvanized coils, 100,000 MTPA for pre-galvanized pipes, and 116,000 MTPA for stainless steel coils. On the distribution side, the company's commercial reach is supported by 47 regional distributors operating across 15 states and one union territory, serving a retail market of over 1,000 dealers nationwide.

Shares of Sambhv Steel Tubes Limited was last trading in BSE at Rs. 114.90 as compared to the previous close of Rs. 115.05. The total number of shares traded during the day was 96239 in over 563 trades.

The stock hit an intraday high of Rs. 118.20 and intraday low of 114.55. The net turnover during the day was Rs. 11209490.00.

Source : Equity Bulls

Keywords

SambhvSteelTubes INE12NJ01018 IronandSteelProducts SalesVolume Q1FY27