Rs 23,500 Crore Order Book: Iron & Steel Company-Welspun Corp Ltd announces Q2FY26 results: Growth with Margin Improvement
DSIJ Intelligence-1 / 31 Oct 2025/ Categories: Multibaggers, Trending
The stock is up 51.5 per cent from its 52-week low of Rs 650.35 per share and has given multibagger returns of over 800 per cent in 5 years.
Welspun Corp Ltd (WCL) announced consolidated financial results for Q2FY26, demonstrating strong financial and operational momentum with six consecutive quarters of consistent growth and margin improvement. The company reported robust financial figures, including a 31 per cent year-on-year increase in total income, a 36 per cent rise in EBITDA to Rs 626 crore and a 53 per cent surge in Profit After Tax (PAT), translating to an annualised ROCE of 24 per cent. Crucially, WCL maintained a net cash positive position with a Rs 11 crore cash balance despite significant capital expenditure, resulting in a Net Debt/EBITDA ratio below zero. This strong performance underpins a confident outlook, backed by a record high consolidated Order Book of approximately Rs 23,500 crore, which provides long-term revenue visibility, particularly with the US mill booked out through FY28.
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The robust business outlook is fueled by strong demand and strategic execution across core geographies: India, the USA, and KSA. The US market presents significant new opportunities driven by growing energy demands from data centres powering Artificial Intelligence, increasing the need for line pipe applications. Segment performance was solid: the associate company in KSA, East Pipes Integrated Company for Industry (EPIC), delivered high profitability and strong EBITDA margins, while Welspun Specialty Solutions Ltd (WSSL) reported improved performance with stainless steel seamless pipes reaching all-time high volumes. Domestically, the Line Pipes business maintained its strong trajectory through good exports and a better product mix, poised to benefit from India’s gas grid development and emerging Hydrogen pipeline projects. Concurrently, Sintex successfully expanded its footprint, with the Bhopal OPVC plant commencing operations, reinforcing WCL's diversified growth strategy.
About the Company
Welspun Corp Ltd (WCL), the flagship company of Welspun World, is a global leader in large-diameter line pipe manufacturing with a presence across six continents and fifty countries, providing customised solutions for both onshore and offshore applications. Beyond line pipes, WCL's diversified product portfolio includes Ductile Iron (DI) Pipes, TMT Rebars, BIS-certified Steel Billets and Stainless Steel Bars & Pipes & Tubes. The company operates state-of-the-art manufacturing facilities in Anjar, Bhopal, Mandya and Jhagadia in India, with international operations in Little Rock, USA and an upcoming facility in Saudi Arabia for both Line Pipes and DI Pipes. WCL is strategically expanding its business through both organic and inorganic growth, notably through the acquisition of Sintex-BAPL, a leader in water tanks and plastic products, marking a significant entry into the OPVC pipes segment and broadening its building materials offerings.
The company has a market cap of over Rs 25,000 crore and has been maintaining a healthy dividend payout of 27.3 per cent. The company's order book stands at Rs 23,500 crore as of September 30, 2025. The stock is up 51.5 per cent from its 52-week low of Rs 650.35 per share and has given multibagger returns of over 800 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.