Hariom Pipe Expects Specialised Products To Reach 55% Of Production Capacity In FY26

Hariom Pipe Industries Ltd. expects specialised, cold-rolled galvanised products to represent 55% of its total production capacity in FY26, the company’s Managing Director, Rupesh Kumar Gupta, has said.

Talking to NDTV Profit, Gupta detailed the company’s strategic shift to producing specialised galvanised products to accelerate sales and improve margins, among other things.

“We have begun producing specialised, cold-rolled, and galvanised coils. This is in addition to regular consumer-orientated galvanised pipes, targeting high-value segments such as engineering, automobile, packaging and electrical industries,” he said.

“This strategic shift is expected to drive an acceleration in sales volume, enhance our value realisation and improve margins,” he added.

Hariom Pipe Industries is confident of scaling the production capacity of these items, the top executive mentioned.

“We are very much confident about scaling the production of these specialised products to represent up to 55% tentatively of our total production capacity in the coming financial year,” Gupta said.

The reason why the company has shifted its focus to manufacturing galvanised products is because they have shown growth potential even during a softer market environment, the Hariom Pipe Industries MD mentioned.

“Over the last nine months, we have achieved year-on-year incremental volume growth of approximately 38% in galvanised product sales despite a soft market environment characterised by subdued demand and lower realisation prices. This recognises the potential for further growth,” he said.

Value-added products such as machinery components, packing strips, and materials for the fan industry are expected to drive the company’s revenue growth, Gupta stated.

“Manufacturing value-added products such as machinery components, packing strips, pre-engineered buildings, fan industry materials and bus bodies would be the major ones (to drive revenue growth),” he said.

The CR Tandem mill that Hariom Pipe recently commissioned at the Mahabubnagar plant will allow the company to produce a wide range of high-quality products for different markets, Gupta added.

Shares of Hariom Pipe Industries Ltd. closed 1.73% lower at Rs 509.95 apiece. In comparison, the benchmark Nifty 50 ended 0.69% lower at 23,526.50 points.