Maithan Alloys Ltd. is a prominent Indian company incorporated in 1994, specializing in the manufacturing and exporting of all three bulk ferroalloys: Ferro Manganese, Silico Manganese, and Ferro Silicon. Headquartered in Kolkata, the company is promoted and managed by the Asansol-based Agarwalla family, which brings extensive multi-decade industry experience. Maithan Alloys is a significant player in the Indian ferroalloy industry, holding over 5% of the total domestic ferroalloy market share and being one of the largest domestic producers of manganese-based ferroalloys. The company's manufacturing facilities are strategically located in Kalyaneshwari (West Bengal) and Ri-Bhoi (Meghalaya), with an additional facility at APSEZ Vishakapatnam, Andhra Pradesh, operated through its subsidiary.
Maithan Alloys Limited is primarily engaged in the production and export of value-added manganese alloys, including ferro manganese, silico manganese, and ferro silicon, which are critical components in steel manufacturing. Ferro manganese is essential for producing flat steel, manganese-rich steel, and stainless steel. Silico manganese finds extensive use across various steel products, particularly in 200 series stainless steel, alloy steel, and manganese steel. Ferro silicon is used in special steels, mild steel, and for manufacturing silicon, corrosion-resistant, and high-temperature resistant ferrous silicon alloys, as well as silicon steel for electromotors and transformer cores.
In addition to its core ferroalloy business, Maithan Alloys has diversified into renewable energy by operating a captive wind power plant, which serves as an additional revenue stream and underscores its commitment to sustainable practices.
As of July 2025, Maithan Alloys boasts a Market Capitalization of ₹3,536 Crore, indicating its substantial presence in the market. Despite facing recent challenges, the company has demonstrated resilience. Over the past five years, the company has experienced a modest sales growth of -0.12%.
Maithan Alloys' financial performance has shown fluctuations. In Q4 FY2024-2025, the company reported a net profit decline of -142.95% to ₹-61.02 Crore, attributed to prevailing challenging market conditions. However, in the quarter ended December 2024, the company saw a positive trend with net profit rising by 6.43% to ₹90.83 Crore compared to the previous year's corresponding quarter. Sales also increased by 18.53% to ₹531.09 Crore in the same period.
- Q4 FY2024-25 Performance: Revenue: ₹435.23 Crore, Net Profit: ₹-58.16 Crore
- TTM Profit After Tax: ₹630 Crore
- P/E Ratio (as of 27-Jun-2025): 5.70 times (a 75% discount to peer median)
- P/B Ratio (as of 27-Jun-2025): 0.96 times (a 61% discount to peer median)
- Listing Date: 05 Jul, 2011
- Chairperson Name: S C Agarwalla
In response to market dynamics, Maithan Alloys has implemented strategic operational adjustments. The Byrnihat unit was shut down from August 31, 2025, due to market and power cost factors, impacting 6.12% of turnover and 8.16% of net worth. This reflects the company's proactive cost management. Furthermore, the Kalyaneshwari Unit, which had been operating at 50% capacity since August 1, 2024, due to adverse market conditions, is now expected to operate at 60% capacity from February 1, 2025.
Maithan Alloys has received a reaffirmation of its credit ratings for bank facilities at CARE AA; Stable/ CARE A1+. This strong credit rating underscores the company's financial stability and creditworthiness, instilling confidence among investors and lenders.
The promoter holding in Maithan Alloys Ltd. has remained robust, standing at 74.96% as of March 2025, a slight decrease from 74.99% in June 2024. The high promoter stake signifies strong management confidence in the company's future prospects. Importantly, there is no promoter pledging, indicating sound financial management.
For the quarter ending March 2025, Maithan Alloys Ltd. declared a dividend of ₹7, translating to a dividend yield of 1.30%. While the dividend payout has been modest at 5.30% of profits over the last three years, the company continues to reward shareholders with regular dividend distributions.
Classified as a Small Cap company by Value Research, Maithan Alloys presents potentially attractive valuation metrics with significant discounts to peer multiples, which may appeal to value investors. However, prospective investors should carefully consider the recent operational challenges and the inherent cyclical nature of the ferroalloy industry. The company's strategic focus on cost optimization, operational enhancements, and its established market position in the domestic ferroalloy sector provide a solid foundation for potential recovery. The diversification into renewable energy through its wind power generation further offers additional growth avenues and aligns with the evolving energy landscape.
