SCODATUBES - Scoda Tubes
📢 Recent Corporate Announcements
Scoda Tubes Limited has announced an update to its registered office address following a board meeting held on March 13, 2026. The update involves changing the address from a single survey number (1566/1) to a more comprehensive list including Survey Nos. 2437, 2442, 2443, and 2446 in Rajpur, Gujarat. The company clarified that this is not a physical relocation but an administrative update to pinpoint the exact location where the office is situated. The board meeting was brief, lasting 30 minutes from 04:00 P.M. to 04:30 P.M.
- Board approved the address update in a meeting held on March 13, 2026
- New address includes four survey numbers: 2437, 2442, 2443, and 2446
- Postal code updated from 382740 to 384440 in the Mehsana district of Gujarat
- Company confirmed there is no physical change in the registered office location
Scoda Tubes Limited has updated its registered office address following a board meeting held on March 13, 2026. The update involves specifying multiple survey numbers (2437, 2442, 2443, 2446) to more accurately reflect the company's existing location in Rajpur, Gujarat. Management clarified that this is not a physical relocation but a routine administrative update for better pinpointing of the premises. The meeting was brief, lasting only 30 minutes from 4:00 PM to 4:30 PM.
- Board meeting held on March 13, 2026, to approve address pinpointing
- Registered office address updated to include Survey Nos. 2437, 2442, 2443, and 2446
- No change in the actual physical location of the company's operations
- Administrative update intended for regulatory accuracy and record-keeping
Scoda Tubes Limited has announced a major capacity expansion of 8,000 MTPA for Welded Tubes & Pipes at its Mehsana facility. The project involves a capital expenditure of ₹400 million, which will be funded through a combination of internal accruals and bank term loans. This expansion is incremental to the growth plans previously disclosed in the company's May 2025 prospectus. Completion is expected by the end of Q3 FY 2026-27, aiming to significantly enhance the company's market presence and meet rising demand.
- Proposed capacity addition of 8,000 MTPA for Welded Tubes & Pipes.
- Total investment of ₹400 million to be funded via internal accruals and term loans.
- Project completion targeted by the end of Q3 FY 2026-27.
- Expansion is in addition to existing plans disclosed in the May 2025 prospectus.
Scoda Tubes reported a 17.3% y-o-y growth in revenue for Q3 FY26, reaching ₹152.4 crores, driven by a strong 41% surge in export sales. While PAT increased by 17.8% to ₹11.5 crores, EBITDA margins saw a contraction from 17.8% to 15.1% due to lower gross margins. The company significantly strengthened its balance sheet, reducing its Net Debt/Equity ratio to 0.2x from 1.1x in the previous fiscal year, following its recent listing and fundraise.
- Revenue from operations grew 17.3% y-o-y to ₹152.4 crores in Q3 FY26.
- Profit After Tax (PAT) increased by 17.8% y-o-y to ₹11.5 crores with a steady 7.5% margin.
- Export revenue witnessed a robust 41% growth, now contributing 32% of total revenue compared to 26% last year.
- Net Debt/Equity ratio improved drastically to 0.2x from 1.1x in FY25.
- EBITDA margins compressed to 15.1% from 17.8% in the corresponding quarter last year.
Scoda Tubes Limited has submitted its Reconciliation of Share Capital Audit Report for the quarter ended December 31, 2025. The report confirms that the company's total issued capital of 59,908,900 shares is fully listed on both BSE and NSE. Notably, 100% of the share capital is now held in dematerialized form, split between NSDL (74.08%) and CDSL (25.92%). The audit found no discrepancies between issued and listed capital, and there are no pending demat requests beyond the 21-day limit.
- Total issued and listed capital remains at 59,908,900 equity shares with a face value of INR 10.00 each.
- 100% of the company's share capital is held in dematerialized form, with zero shares in physical mode.
- The company reported a total of 25,141 security holders as of the end of the December 2025 quarter.
- NSDL holds the majority of demat shares at 74.08%, while CDSL holds 25.92%.
- No differences were found between issued, listed, and total dematerialized capital, indicating clean records.
Scoda Tubes Limited has filed the compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended December 31, 2025. The Registrar and Share Transfer Agent, MUFG Intime India Private Limited, confirmed that all dematerialization requests were processed within prescribed timelines. The filing ensures that the company's physical share certificates are being correctly converted to electronic form and listed on exchanges. This is a standard administrative procedure required for all listed companies in India.
- Compliance certificate issued for the quarter ended December 31, 2025.
- RTA MUFG Intime India confirmed processing of dematerialization requests.
- Securities comprised in the certificates are listed on NSE and BSE.
- Physical certificates were mutilated and cancelled as per SEBI guidelines.
Scoda Tubes Limited has scheduled a plant visit for a group of 12 institutional investors and analysts on January 9, 2026, at its Mehsana, Gujarat facility. Notable participants include DSP Mutual Fund, Kotak Securities, Ambit Wealth Group, and Nirmal Bang, indicating significant institutional interest. The visit is scheduled for a four-hour window from 11:00 AM to 3:00 PM and is being organized by Capital Bridge Advisors. The company has confirmed that no unpublished price sensitive information (UPSI) will be shared during the interaction.
- Plant visit scheduled for January 9, 2026, at the Rajpur, Mehsana manufacturing facility.
- Participation from 12 major institutional entities including DSP Mutual Fund and Kotak Securities.
- Four-hour interaction window (11:00 AM to 3:00 PM) organized by Capital Bridge Advisors.
- Company explicitly stated that no unpublished price sensitive information will be disclosed.
Scoda Tubes Limited has informed the exchanges about a scheduled one-on-one meeting with investors and analysts on January 02, 2026. The meeting is set to take place at 5:00 PM via an online platform and is being organized by Capital Bridge Advisors. The company has clarified that no unpublished price sensitive information (UPSI) will be shared during this interaction. This is a standard regulatory disclosure under SEBI Listing Obligations and Disclosure Requirements.
- One-on-one investor meeting scheduled for January 02, 2026, at 5:00 PM
- The interaction will be conducted through an online mode
- The meeting is being arranged by Capital Bridge Advisors
- Company confirms that no unpublished price sensitive information will be disclosed during the session
Scoda Tubes Limited has announced the closure of its trading window for all designated insiders starting January 1, 2026. This move is in compliance with SEBI (Prohibition of Insider Trading) Regulations for the upcoming declaration of financial results. The window will remain closed until 48 hours after the company announces its unaudited financial results for the quarter ending December 31, 2025. This is a standard regulatory procedure followed by listed companies to prevent insider trading prior to the release of price-sensitive information.
- Trading window for insiders to be closed effective from Thursday, January 1, 2026.
- Closure is related to the finalization of unaudited financial results for the quarter ended December 31, 2025.
- The window will reopen 48 hours after the public declaration of the quarterly results.
- Compliance maintained under SEBI (Prohibition of Insider Trading) Regulations, 2015.
Financial Performance
Revenue Growth by Segment
Revenue from operations reached INR 484.90 Cr in FY25, growing 21.2% from INR 399.86 Cr in FY24. In H1 FY26, revenue grew 5% YoY to INR 242.7 Cr. Seamless products remain the primary revenue driver, while the welded segment is expected to scale significantly following the capacity expansion to 33,128 MTPA.
Geographic Revenue Split
As of H1 FY26, the revenue split is India (71%), Europe (24%), and America (5%). Export revenue grew 6% YoY to INR 70.8 Cr in H1 FY26, contributing 29.2% of total revenue compared to 26.6% in FY25.
Profitability Margins
Net Profit Margin improved from 4.6% in FY24 to 6.5% in FY25 and reached 8.7% in H1 FY26. Gross profit margin was 30.6% in FY25, down from 34.5% in FY24, reflecting higher raw material costs.
EBITDA Margin
EBITDA margin was 16.1% in FY25, up from 14.7% in FY24. In H1 FY26, the EBITDA margin compressed to 15.1% (down 117 bps YoY) due to increased inventory stocking and operational costs associated with capacity expansion.
Capital Expenditure
The company incurred INR 45.9 Cr in capex during H1 FY26. Capital work in progress stood at INR 61.1 Cr as of September 30, 2025, as part of a major scale-up to increase finished goods capacity from 11,088 MTPA to 33,128 MTPA.
Credit Rating & Borrowing
Assigned CARE BBB+; Stable for long-term facilities and CARE A2 for short-term. The Debt-Equity ratio significantly improved to 1.4x in FY25 from 3.2x in FY24 due to equity infusion from Pre-IPO placement.
Operational Drivers
Raw Materials
Stainless Steel (SS) Round Bars and SS Coils are the primary raw materials, with costs representing approximately 69.4% of revenue based on FY25 gross margins.
Capacity Expansion
Current installed capacity is 11,088 MTPA (10,068 MTPA Seamless; 1,020 MTPA Welded). Planned expansion will increase this to 33,128 MTPA by Q1 FY27. Mother hollow capacity for backward integration is 20,000 MTPA.
Raw Material Costs
Raw material costs as a percentage of revenue were approximately 69.4% in FY25. Profitability is highly susceptible to steel price volatility, which is a monitorable risk given the 120-135 day inventory holding period.
Manufacturing Efficiency
Targeted blended capacity utilization is 60-65% for FY26, with plans to increase to 80% by FY27 as new capacities stabilize.
Strategic Growth
Expected Growth Rate
20%
Growth Strategy
Growth will be driven by a 198% increase in finished goods capacity to 33,128 MTPA, with commercial production of welded products starting in Q1 FY27. The company aims for a blended EBITDA margin of 15-16% by balancing seamless (16-18% margin) and welded (12-13% margin) product mixes.
Products & Services
Stainless steel seamless tubes, welded tubes, pipes, and U-tubes.
Brand Portfolio
Scoda Tubes Limited.
New Products/Services
New product launches in the welded segment are expected to contribute to the targeted 20% revenue growth following the Q1 FY27 capacity ramp-up.
Market Expansion
The company has exported to 32 countries and is focusing on increasing its market share in Europe (currently 24% of revenue) and America (5% of revenue).
External Factors
Industry Trends
The industry is seeing increased demand for stainless steel tubes driven by government supportive policies. Scoda is positioning itself through backward integration and expanding its global footprint to 32 countries.
Competitive Landscape
Faces strong competition from both domestic players and inexpensive imports, countered by focusing on quality and product differentiation.
Competitive Moat
Durable advantages include backward integration (20,000 MTPA mother hollow capacity) and international accreditations like PED 2014/68/EU and DNV Marine, which serve as high entry barriers for competitors.
Macro Economic Sensitivity
Highly sensitive to global economic cycles and fluctuations in the steel industry, which impact both raw material costs and demand volumes.
Consumer Behavior
Growing expectations for sustainable practices are influencing cost structures and operational investments in renewable energy.
Geopolitical Risks
Trade barriers or changes in custom duties could pose threats to the export business, which accounts for 29.2% of revenue.
Regulatory & Governance
Industry Regulations
Operations must comply with PED 2014/68/EU, ADW/AD 2000 (Germany), and Indian Boiler Regulation (IBR) standards for product quality and safety.
Environmental Compliance
The company invests in renewable energy and resource-efficient practices to meet growing sustainability expectations.
Taxation Policy Impact
Current tax for FY25 was INR 1.18 Cr on a Profit Before Tax of INR 4.19 Cr, representing an effective tax rate of approximately 28%.
Risk Analysis
Key Uncertainties
Working capital intensity is a primary risk, with cash flow from operations turning negative at INR -51.0 Cr in H1 FY26 due to high inventory and debtor days.
Geographic Concentration Risk
71% of revenue is concentrated in the Indian domestic market, while 24% is concentrated in Europe.
Third Party Dependencies
Dependency on external suppliers for raw materials like SS round bars is a risk, partially mitigated by captive mother hollow production.
Technology Obsolescence Risk
Mitigated by regular R&D investments and a focus on product improvement to ensure relevance against evolving technologies.
Credit & Counterparty Risk
Trade receivables increased to INR 154.0 Cr in H1 FY26 from INR 101.1 Cr in FY25, with debtor days rising to 113 days, indicating increased credit exposure.