Conference Call with APL Apollo Tubes Management and Analysts on Q3FY24 Performance and Outlook. Listen to the full earnings transcript.
Iron & Steel Products company APL Apollo Tubes announced Q3FY24 & 9MFY24 results: Q3FY24: Sales volume was unchanged YoY to 604k tons Revenue declined by 3% YoY to Rs 41.8 billion EBITDA increased by 2% YoY to Rs 2.8 billion EBITDA per ton was Rs 4,631 (+3% YoY) Net Profit declined by 2% YoY to Rs 1.7 billion 9MFY24: Sales volume increased by 19% YoY to 1.94 million tons Revenue increased by 14% YoY to Rs 133.5 billion EBITDA increased by 31% YoY to Rs 9.1 billion EBITDA per ton was Rs 4,700 (+10% YoY) Net Profit increased by 32% YoY to Rs 5.6 billion Sanjay Gupta, Chairman, APL Apollo, commenting on Q3FY24 results said, "The company reported strong growth in 9MFY24 with sales volume +19% YoY, EBITDA +31% YoY and net profit +32% YoY. The ramp-up from our Greenfield plant in Raipur is on expected lines with utilization levels reaching 53% in December 2023. The Dubai plant also started production in December 2023. The initial results are encouraging with solid response from global steel tube distributors for APL Apollo's products. The Q3FY24 sales volume was soft due to channel destocking owing to fears of price correction. However, we are encouraged to see strong sales growth in our value-added product portfolio such as the heavy structural steel tubes and coated products. The overall sales volume shall improve in the subsequent quarters as the signs for re-stocking are already visible post the recent reduction in domestic steel prices. We continue to remain prudent with our working capital management, which remains best in the building material sector." Result PDF