Company Overview

Vibhor Steel Tubes Limited (BSE: 544124, NSE: VSTL) reported mixed FY26 financial results with revenue growth but profit decline, alongside significant operational developments and upcoming AGM resolutions.

Financial Performance Highlights

Revenue & Profitability:

  • Revenue from operations increased 15.35% to ₹1,149.35 Cr (₹11,493.51 lakhs) from ₹996.38 Cr in FY25
  • Net profit declined 25.3% to ₹8.79 Cr (₹879.34 lakhs) from ₹11.77 Cr, with EPS dropping to ₹4.64 from ₹6.21
  • Profit before tax decreased to ₹12.38 Cr (₹1,370.28 lakhs) from ₹16.86 Cr, impacted by higher depreciation (₹16.76 Cr vs ₹10.41 Cr) and finance costs (₹15.94 Cr vs ₹11.20 Cr)
  • Effective tax rate was 26.19% compared to 30.20% in FY25

Balance Sheet & Ratios:

  • Total borrowings increased to ₹192.50 Cr (₹19,249.79 lakhs) from ₹170.56 Cr
  • Current ratio declined to 1.25 from 1.37, while return on equity decreased to 4.57% from 6.43%
  • Trade receivables improved to ₹55.31 Cr from ₹71.87 Cr, with turnover ratio at 18.07 times
  • Inventory turnover ratio improved to 6.68 times from 5.04 times

Operational Developments

Capacity Expansion:

  • Commissioned Odisha manufacturing unit with 156,000 MTPA capacity at investment of ₹119.83 Cr
  • Total annual production capacity now 377,000 MT across three manufacturing units (Maharashtra: 125,000 MTPA, Telangana: 96,000 MTPA)
  • Export presence in 11+ countries, targeting 10x growth in 5 years

Credit Rating & Corporate Structure:

  • Maintained CRISIL BBB+/Stable rating for long-term facilities (₹232.50 Cr) and CRISIL A2 for short-term facilities (₹137.50 Cr)
  • Paid-up capital unchanged at ₹18.96 Cr (1,89,62,443 shares), 100% in dematerialized form
  • Formed wholly owned subsidiary "Viyom Steel Infra Private Limited" for infrastructure diversification

AGM & Corporate Governance

23rd Annual General Meeting:

  • Scheduled for September 16, 2026, at physical venue in Hisar, Haryana
  • Remote e-voting available from September 13-15, 2026

Key Resolutions:

  • Adoption of FY26 financial statements
  • Re-appointment of Mr. Vibhor Kaushik as Managing Director and Mrs. Vijay Laxmi Kaushik as Whole-Time Director
  • Significant remuneration increases for key management personnel:
  • Mr. Vibhor Kaushik: ₹219 lakh to ₹240 lakh
  • Mr. Vijay Kaushik: ₹189 lakh to ₹235 lakh
  • Mrs. Vijay Laxmi Kaushik: ₹156 lakh to ₹230 lakh
  • Mrs. Pratima Sandhir: ₹186 lakh to ₹230 lakh
  • Ratification of cost auditor remuneration at ₹60,000 plus taxes

Shareholding Pattern:

  • Promoter group holds 71.78% including Vijay Kaushik (21.99%), Vijay Laxmi Kaushik (22.83%), Vibhor Kaushik (18.30%), and Pratima Sandhir (1.95%)