+
Nuvama Reiterates ‘Buy’ on Venus Pipes, Sets Rs 2120 TP
ECONOMY & POLICY

Nuvama Reiterates ‘Buy’ on Venus Pipes, Sets Rs 2120 TP

Nuvama Institutional Equities has reiterated its ‘Buy’ rating on Venus Pipes & Tubes, raising the target price to Rs 2.12 billion from Rs two billion. This follows in-line Q4 FY25 results, with revenue up 15 per cent year-on-year, while EBITDA and profit after tax declined eight per cent and seven per cent respectively.

A key highlight was the surge in export contribution to 44 per cent in Q4 FY25, compared to 12 per cent a year earlier. However, domestic share dropped to 56 per cent amid weak demand. Total FY25 volumes grew 18 per cent to 26,000 tonnes, though margins slipped 400 basis points year-on-year due to competitive pressure and a slowdown in welded pipe exports.

Management has guided for over 20 per cent volume growth and 16–18 per cent operating margins. Backed by a strong order book of Rs 5.74 billion and rising demand from sectors like power, Venus received a Rs 1.9 billion order for stainless-steel seamless boiler tubes from a thermal power project.

With valuation rolled forward to FY27 earnings at 25 times projected EPS, Nuvama believes Venus is positioned for robust growth.

Source:Company update via Nuvama

Nuvama Institutional Equities has reiterated its ‘Buy’ rating on Venus Pipes & Tubes, raising the target price to Rs 2.12 billion from Rs two billion. This follows in-line Q4 FY25 results, with revenue up 15 per cent year-on-year, while EBITDA and profit after tax declined eight per cent and seven per cent respectively.A key highlight was the surge in export contribution to 44 per cent in Q4 FY25, compared to 12 per cent a year earlier. However, domestic share dropped to 56 per cent amid weak demand. Total FY25 volumes grew 18 per cent to 26,000 tonnes, though margins slipped 400 basis points year-on-year due to competitive pressure and a slowdown in welded pipe exports.Management has guided for over 20 per cent volume growth and 16–18 per cent operating margins. Backed by a strong order book of Rs 5.74 billion and rising demand from sectors like power, Venus received a Rs 1.9 billion order for stainless-steel seamless boiler tubes from a thermal power project.With valuation rolled forward to FY27 earnings at 25 times projected EPS, Nuvama believes Venus is positioned for robust growth.Source:Company update via Nuvama

Related Stories

Gold Stories

Next Story
Products

Interio by Godrej launches modular workplace solutions

Interio by Godrej has launched Workscapes, a modular workplace solutions category designed to help organisations configure and adapt workspaces to changing requirements. The portfolio combines mobile and compatible furniture and support elements that can be rearranged across different work modes without changes to fixed layouts.Workscapes includes Collaboration Tables, Privacy Solutions, Mobile Markerboards and Space Dividers, Power Solutions, Storage and Support Elements, Meeting and Presentation Tools, and Seating Elements. The range is designed for focused work, collaboration, informal disc..

Next Story
Infrastructure Urban

CAFE-III Gives Auto Industry Investment Clarity

The government’s new Corporate Average Fuel Economy (CAFE-III) norms have provided the automobile industry with a clearer framework for technology investments, according to industry representatives. The framework seeks to balance environmental objectives with flexibility for manufacturers while encouraging the adoption of flex-fuel vehicles and biofuels. Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the five-year framework would give automakers greater predictability to plan investments and accelerate innovation. He said the regulation established annual targ..

Next Story
Infrastructure Energy

Mines Ministry to Auction Two Offshore Mineral Blocks in Andaman Sea

The Ministry of Mines will launch an auction of two offshore mineral blocks in the Andaman Sea on Thursday, seeking to unlock India’s offshore mineral potential and strengthen long-term mineral resource security. The blocks will be offered under a composite licence, which permits exploration and development activities in accordance with the applicable regulatory framework. The ministry said the auction was intended to encourage systematic exploration, attract investment and promote the use of advanced technologies for offshore mineral exploration and development. The initiative is also aimed..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code