Welspun Corp Q2 net profit jumps 53% to ₹439 crore, revenue surges 33%

Homegrown Welspun Corp Ltd (WCL) on Thursday (October 30) reported a 53.2% year-on-year increase in consolidated net profit at ₹439 crore for the second quarter, compared to ₹287 crore in the same period last year.

Revenue grew 32.5% year-on-year to ₹4,373 crore from ₹3,301.8 crore, while EBITDA rose 47.7% to ₹590.8 crore against ₹400 crore a year ago. EBITDA margin stood at 13.5% for the quarter, up from 12.1% in the corresponding period last year.

Welspun Corp announced the acquisition of 2.72 crore equity shares, representing 4.11% of Welspun Specialty Solutions Ltd, from the promoter group at market price, subject to compliance with applicable laws. Upon completion of the transaction, the company’s equity holding in its subsidiary will increase from 51.06% to 55.17%.

Also Read: Welspun Corp bags ₹1,600 crore orders since June 4; order book at ₹18,000 crore

The company plans to incorporate a wholly owned subsidiary in the Dubai International Financial Centre, United Arab Emirates, subject to necessary regulatory approvals. The proposed entity will serve as an investment holding company to oversee the company’s global investments.

The incorporation will be carried out with a name approved by the regulatory authorities, and details regarding the name and date of incorporation will be provided upon completion. The subscription of shares in the new entity will be made through cash consideration, and Welspun Corp will hold 100% of the shareholding in the proposed subsidiary.

Shares of Welspun Corp Ltd ended at ₹928.70, up by ₹21.90, or 2.42%, on the BSE.

Also Read: Welspun Corp wins new orders worth ₹2,400 crore for supply of coated pipes in the US