Surya Roshni Limited, incorporated in 1973, has established itself as a formidable player in India's industrial landscape. It is recognized as India's largest ERW Pipes exporter, the largest producer of GI Pipes, and a leading entity in the lighting segment. Founded by Mr. J.P. Agarwal, the company began as a steel pipe manufacturer and strategically diversified over the years, venturing into lighting in 1984, PVC pipes in 2010, and consumer durables like fans and home appliances in 2014-15.
The company operates through two main business segments: Steel Pipe and Strips, and Lighting and Consumer Durables. With a dedicated workforce of 8,031 employees, Surya Roshni serves a wide array of sectors including agriculture, infrastructure, oil and gas, water management, and construction.
This division offers a comprehensive range of pipes and strips catering to diverse industrial and agricultural needs. Products include:
- GI Pipes: For agriculture and irrigation, casing and tubing, water transportation, plumbing, green houses, fire fighting, street light poles, and solar panel mounting.
- Specialty Pipes: API/3LPE coated spiral pipes, spiral welded pipes, and black pipes for construction, fabrication, fencing, metro railway platforms, airports, powder coating, sign boards, industrial applications, and scaffolding.
- Strips: Cold rolled strips and sheets, and CR strips.
Surya Roshni is the leading manufacturer of ERW GI Pipes in India and the foremost exporter of ERW Pipes, commanding a significant market share. The company holds a dominant position in South India and is among the top three in North India for GI Pipes, ranking number one in states like Andhra Pradesh, Telangana, Madhya Pradesh, Chhattisgarh, Uttar Pradesh, and Jharkhand. It also holds the second position in Karnataka, Delhi, Maharashtra, Bihar, Rajasthan, and Uttarakhand.
In the lighting segment, Surya Roshni provides an extensive product range from traditional lighting solutions to advanced professional lighting systems, including a wide array of LED lamps. The company pioneered the manufacturing of T-5 lamps in India and is a market leader in terms of sales volume for lamps and tubes.
Beyond lighting, this segment also encompasses consumer durables such as steel pipes, PVC pipes, fans, and other home appliances. The company manufactures its LED and lighting products in-house, emphasizing energy efficiency and low maintenance costs.
Surya Roshni reported strong financial results for Q4 FY25:
- Revenue: ₹2,146 Cr, showing a 3.23% increase compared to the same period last year and a 15% quarter-on-quarter growth.
- EBITDA: ₹211 Cr.
- Net Profit: ₹130.09 Cr, marking a 25.18% year-on-year increase and a significant 44.71% jump from the previous quarter.
- Net Profit Margin: 6.04%, an improvement of 21.26% year-on-year and a 25.84% quarter-on-quarter growth.
- Revenue (Q4 FY25): ₹2,146 Cr
- EBITDA (Q4 FY25): ₹211 Cr
- Net Profit (Q4 FY25): ₹130.09 Cr
- Net Profit Margin (Q4 FY25): 6.04%
- EPS (Q4 FY25): 5.98
- Annual Revenue (FY25): ₹7,435 Cr
- Annual Profit (FY25): ₹348 Cr
- Debt Status: Zero debt.
Surya Roshni holds a significant market presence with a reported market capitalization of approximately ₹6,477 crore. The company's financial strength is further underscored by its virtually debt-free status, which provides substantial financial flexibility for future strategic initiatives and expansion. Promoter holding stands at a robust 62.5%, indicating strong management commitment and confidence in the company's long-term prospects.
The company has secured substantial orders, reinforcing its position in key sectors:
- An order worth ₹106.01 crore from Hindustan Petroleum Corporation for the supply of API SL Gr. X, 3LPE Coated Line Pipes for Rajasthan & Jharkhand.
- An order worth ₹108.67 crore from a domestic entity for the supply of Food Grade Epoxy Coated, Spirally Welded HSAW MS pipes for Madhya Pradesh.
- A significant order of ₹116.15 crore from GAIL India for the supply of coated pipes, to be executed over 39 weeks, highlighting the company's strong foothold in the infrastructure sector.
Surya Roshni has outlined ambitious growth plans focused on capacity expansion and product diversification:
- Capex Plan: A planned investment of ₹500 crore in capital expenditure over the next three years to enhance production capabilities.
- Capacity Target: Aims to achieve a 2MT (million tonnes) production capacity by 2027.
- Product Mix Focus: Emphasis on developing and promoting value-added product offerings, such as 3LPE Coated pipes and Alkyd pipes, to improve margins and strengthen market positioning.
The company has a history of rewarding its shareholders. A final dividend of ₹3.00 per equity share has been approved, subject to shareholder approval at the upcoming Annual General Meeting. In the quarter ending September 2024, Surya Roshni Ltd declared a dividend of ₹2.50, which translates to a dividend yield of 1.68%.
Surya Roshni Limited is publicly traded and listed on both major Indian stock exchanges:
- National Stock Exchange (NSE)
- Bombay Stock Exchange (BSE)
The company has been listed on these exchanges since December 7, 1994.
Surya Roshni Limited stands as a well-established industrial conglomerate with robust market positions across its core business segments. Its strong financial performance, coupled with strategic growth initiatives focused on capacity expansion and product innovation, positions it for continued success and value creation in the Indian market.
