Venus Pipes targets 20% volume growth as data center order kicks in
Management expects EBITDA margins to reach 18% by FY28, anchored by a ₹185 crore cooling spooling contract for data centers.
— 7 earlier stories on Venus Pipes & Tubes Ltd. →What's new
- Management targets volume growth above 20% for FY27.
- EBITDA margins are guided to reach 17% in FY27 and 18% by FY28.
- Exports are expected to recover to over 35% of revenue in FY27.
Why this matters
The company is betting its profitability on the high-margin spooling business. Success depends on scaling this new product line in a competitive market.
What we're watching
- Execution of the ₹185 crore data center order.
- Margin performance in the spooling segment, targeted at over 20%.
- Recovery of export revenue despite Middle East supply chain issues.
The full read
Venus Pipes & Tubes is shifting toward higher-margin products to lift profitability. Management confirmed a ₹185 crore letter of intent for pre-assembled cooling spooling solutions, a first for the domestic stainless steel piping sector. This order is the foundation for the company's plan to lift EBITDA margins to 17% in FY27 and 18% by FY28, up from 16.3%. To reach these goals, the company expects volume growth to exceed 20% in FY27. Exports remain a key pillar, with management anticipating a recovery to over 35% of revenue in FY27, even as Middle East supply chain disruptions persist. The company expects the spooling business to deliver margins above 20%. The next test is whether the company can maintain this momentum while working through regional export headwinds.
Questions answered
- What is the significance of the ₹185 crore order?
- It is a letter of intent from a leading data center operator for pre-assembled cooling spooling solutions. This is a first for the Indian stainless steel piping industry.
- What are the margin targets set by management?
- Management expects EBITDA margins to climb from 16.3% to 17% in FY27, reaching 18% by FY28.
- How does the company plan to grow its volumes?
- Management projects volume growth exceeding 20% in FY27, supported by the spooling business and operating efficiencies in welded pipes.
- What is the outlook for export revenue?
- Despite near-term disruptions in the Middle East, the company expects exports to recover to over 35% of total revenue in FY27.
Venus Pipes & Tubes Ltd.
Latest quarter · Mar 2026
Strength & growth
Story so far
All notes on VENUSPIPES →- 26 May 2026 · 5:37 PM IST Venus Pipes targets 20% volume growth as data center order kicks in
- 38d ago Venus Pipes lands ₹185 cr data-center order, pushes capex to ₹200 cr
- 46d ago Venus Pipes grows revenue 22% but profit growth lags badly
- 46d ago Venus Pipes grew revenue 21.7% last year. Profit didn't keep up.
- 46d ago Venus Pipes wins ₹185-cr data-centre order, invests ₹70 cr in new plant