APL Apollo Tubes Ltd. (NSE: APLAPOLLO)| Q3 FY23 Results Out.| Total Income rises 34% yoy.

APL Apollo Tubes Limited(NSE: APLAPOLLO) is a leading producer of Structural Steel Tubes and pipes in India, with a total capacity of 2.6 MTPA. The company has five manufacturing units across India and serves a wide spectrum of industrial applications through its one-stop shop for a variety of steel products, including MS Black pipes, Galvanized Tubes, Pre-Galvanized Tubes, Structural ERW Steel tubes, and Hollow sections.

APL Apollo has a vast 3-tier distribution network with over 800 dealers and warehouses in over 20 cities, making it a well-established player in the steel industry. The company was incorporated in 1986 and has undergone several changes and expansions over the years, including the commissioning of world-scale manufacturing facilities and the transformation of branches into steel product retail chains.

APL Apollo Tubes Ltd. announced their Q3FY23 results showing a significant increase in sales volume by 50% YoY to 605k tons, resulting in a 34% YoY growth in revenue to Rs 43.3 billion. The EBITDA also increased by 35% to Rs 2.7 billion, and the net profit rose by 32% to Rs 1.7 billion. The EBITDA per ton decreased by 10% YoY to Rs 4,510. The company attributes its success to its focus on adding value-added products (VAP) to its portfolio, which contributed 57% to overall sales volume in 9MFY23.

The chairman, Sanjay Gupta, also stated that the ramp-up from their greenfield plant in Raipur will support further sales volume and EBITDA growth in the coming quarters. The company also continues to prioritize responsible working capital management.