PVC Pipe

The commerce ministry's investigation arm DGTR has recommended imposition of an anti-dumping duty of up to USD 339 per tonne on imports of PVC resins from seven countries, including China, the US and Korea, with a view to guard domestic producers. In its preliminary findings, the Directorate General of Trade Remedies (DGTR) has concluded that 'PVC suspension resins' have been exported to India at a price below the normal value, resulting in dumping. The notification of the directorate said that the imports from these countries - China, Indonesia, Japan, Korea RP, Taiwan, Thailand and the US - have caused material injury to the domestic industry. "Accordingly, the authority recommends imposition of provisional anti-dumping duty on the imports," it has said. The recommended duty ranges between USD 25 per tonne and USD 339 per tonne. The finance ministry takes the final decision to impose duties. The DGTR conducted the probe following applications regarding the same from domestic ..

Plumbing revenue was up 8 per cent year-on-year (Y-o-Y) and was lower than Street estimates due to lower volume growth at 16 per cent, compared to 23 per cent in Q4FY24

Tile manufacturers are projected to achieve 5-6 per cent year-on-year (Y-o-Y) volume growth with stable margins, analysts said

By comparison, categories like wood panel and tile-bathware could report mid to high single-digit growth rates

Hi-Tech Pipes on Monday announced plans to scale up its annual production capacity to 10 lakh tonne by 2024-25. At present, the company has five manufacturing units with an installed capacity of 5.80 lakh tonne per annum. "Hi-Tech Pipes Ltd aims for 1 million tonnes capacity by FY25," the company said in a statement. It also announced commissioning of its Sanand unit-II Phase-1 at Gujarat and establishment of new greenfield unit-III at Sikandrabad (UP) and Sanand Unit-II Phase-2. With the latest manufacturing technology and equipment, the company's focus will be on manufacturing of value-added products with proportion in excess of 50 per cent, Hi-Tech Pipes Ltd Chairman & Managing Director Ajay Kumar Bansal said. The Sanand Unit-ll project is equipped for manufacturing of high-end pipes for solar trackers. The company's manufacturing plants are spread across Uttar Pradesh, Andhra Pradesh, Gujarat, and Maharashtra.

Agri-focused pipes maker Finolex Industries on Friday reported nearly 24 per cent growth in net profit to Rs 89.21 crore for the third quarter ended December 2023, despite a decline in income from operations. The Pune-based company said its sales revenue declined by 9.3 per cent to Rs 1,019.69 crore during the reporting quarter and also saw its finance cost rise to Rs 7.7 crore from Rs 5.13 crore year-on-year. The company's profit margin rose to 8.7 per cent from 6.4 per cent in the year-ago period, the company said in a statement. Overall sales declined as PVC resin sales plunged 43 per cent to 2,759 MT from 4,863 MT, while pipes and fittings declined 10 per cent to 81,312 MT from 90,396 MT. Finolex executive chairman Prakash Chhabria said the marginal decline in volume was due to a high base, as FY23 saw a huge pent-up demand for agri-pipes and fittings, leading to highest-ever sales in the country. But this is taken care of by the soaring demand for plumbing and sanitation

PVC pipes and fittings manufacturer Finolex Industries on Saturday reported a consolidated profit of Rs 97.96 crore for the quarter ending September 30. The company had posted a loss of Rs 95.38 crores during the corresponding quarter of the previous financial year, Finolex Industries said in a regulatory filing. Revenue from operations of the company, however, witnessed a decline of 6.16 per cent during the quarter under review at Rs 883.15 crores compared to Rs 941.13 crores in the same period of the previous fiscal. "Indian economy is displaying continued consumption-led growth in both the rural and the urban segments of the country. The pipes and fittings segment which plays an important role in contributing to economic growth has been growing strong on a year-on-year basis. The global PVC prices are near historic lows, which might bolster pipe and fittings demand once prices stablise," Finolex Industries Prakash P Chhabria Executive Chairman said. Shares of the company on Frid

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After gaining 40% already in FY24, the stock is trading at a PE of over 100x

Margins to expand, given demand recovery in key segments and falling input costs

After a sustained run, the benchmark Nifty is likely to move sideways and action could shift to the broader market

The company underperformed peers on the volume front in Q2, though margin impact was lower given value-added mix

It underperformed peers on the volume front in Q2, though margin impact was lower given value-added mix

Adani, TCG among key rivals in the sector

With the focus of both the Central as well as State Governments on water connectivity and distribution, the company expects demand for the PVCO pipes to be robust.

Weak Q3, lower PVC prices, demand uncertainty are key concerns

While the sector has grown at 10% over the last five years till FY21, it is expected to grow at a faster pace of 12% until FY25

In the past one month, the stock of Astral has rallied 27 per cent, as compared to a 5 per cent rise in the S&P BSE Sensex

Strong demand for plastic pipes, higher value-add mix drive earnings upgrade

Volume recovery and cost rationalisation may offset some of the pressure on margins