APL Apollo Tubes Ltd.'s first-quarter profit rose in line with analysts' estimates.
The structural tube manufacturer's net profit rose 60.45% year-on-year to Rs 193.62 crore in the June quarter, according to an exchange filing. That compares with the consensus estimate of Rs 192.1 crore of analysts tracked by Bloomberg.
APL Apollo Tubes Q1 FY24 Highlights (Consolidated, Year-on-Year)
Revenue up 32.48% at Rs 4,566.57 crore. (Bloomberg estimate: Rs 4,554.1 crore)
Net profit up 60.45% at Rs 193.62 crore. (Bloomberg estimate: Rs 192.1 crore)
Ebitda up 58.42% at Rs 307.23 crore. (Bloomberg estimate: Rs 326.5 crore)
Ebitda margin at 6.76% versus 5.63% (Bloomberg estimate: 7.2%)
The rise in revenue was driven by a 56% year-on-year growth in volume at 661,501 tonne. The company has given sales volume guidance of 2.8 to 3 million tonne for FY24.
The value-added products shares improved to 57% from 54% in the final quarter of FY23. APL Apollo plans to 'de-commoditise' its product portfolio with a target of achieving 75% share in value-added products in the next three years.
"We continue to remain prudent with our working capital management, which remains the best in the building material sector," said Chairman and Managing Director Sanjay Gupta.
Shares of APL Apollo rose 1.77% higher at Rs 1,555.05 apiece on Monday, compared to a 0.20% gain in the NSE Nifty 50.
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