Vardhman Special Steels (VSSL) Q4 24/25 earnings summary

Executive summary

• FY25 delivered record billet production of 247,635 MT and rolled-product sales of 215,843 MT, with operational gains offset by weak steel pricing and export markets.

• Revenue rose to ₹1,764 crore; EBITDA was ₹177 crore and net profit ₹93 crore. Aichi Steel increased its stake to 24.90% after year-end, strengthening support for expansion.

Financial highlights

• Revenue from operations was ₹1,764.41 crore versus ₹1,661.36 crore in FY24; EBITDA was ₹177.16 crore versus ₹172.26 crore.

• Net profit was ₹93.09 crore versus ₹91.63 crore; EPS was ₹11.40 versus ₹11.24.

• Operating cash flow declined to ₹126.91 crore from ₹142.41 crore, with working-capital needs cited as the main reason.

• Export revenue fell to ₹58.84 crore from ₹63.03 crore; export volumes were 6,692 MT.

Outlook and guidance

• FY26 priorities include ramping production and sales, integrating new assets and adapting to SAP S/4HANA, implemented from 1 July 2025.

• The 55 MW DC solar plant is expected to commission in Q3 FY26 and supply nearly 40% of power needs; the carbon-footprint target is below 0.5 tonnes in FY26.

• The new Punjab greenfield plant is planned for 500,000 MT annual billet capacity, with investment of about ₹2,000 crore and target commissioning in July 2029.

• Approved global customer products are expected to enter mass production over the next 12–24 months; export volumes are targeted to more than double over 3–4 years.