Ratnamani Metals & Tubes Ltd

- No explicit mention of any current or planned new fundraising through debt or equity in the transcript. - The company’s net debt position as of June 2022 is modest, with debt around Rs. 150-160 crores and net debt approximately Rs. 60-70 crores. - The company maintains a positive net cash position but not significantly high due to working capital demands. - Maintenance CAPEX is around Rs. 40 crores and is accounted for in the P&L, with no indication of major new capital raising needs. - Ongoing investments include expansion projects (SS and HSAW mills), which are progressing but no mention of raising funds via equity or fresh debt for these.

- Additional CAPEX announced for Stainless Steel (SS) and Helical Submerged Arc Welded (HSAW) mill at a new location. Work on SS is ongoing and ground preparation for HSAW is in progress; updates expected in 3 to 6 months (Page 9). - New hot extrusion facility commissioned at Indrad replacing older facility at Kutch, with reduced import dependency (Page 12, 13). - Maintenance CAPEX around Rs. 40 Cr annually, expensed through Profit & Loss (Page 13). - Focus on high value-added and import substitute products, leveraging new capacities (Page 14). - Stainless Steel capacity utilization expected to be largely captive with some availability for external sales (Page 9). - No major change expected in CAPEX due to oil prices; emphasis on petrochemical expansion and related demand (Page 8).

- The company targets a revenue growth of 15-20% for the financial year, maintaining a growth trajectory of around 20% as a long-term expectation. - Volume growth in carbon steel is expected to be significant, approximately 25-30%, due to declining prices, but stainless steel volume growth will be modest as the focus is on higher value-added products rather than tonnage. - Utilization rates are expected to remain better supported by good monsoons and stable demand, with no major signs of demand destruction. - Growth drivers include expansion in petrochemical plants, refinery capacity expansions, and demand from water projects in Gujarat, Rajasthan, and Madhya Pradesh. - New opportunities in CGD (City Gas Distribution) projects and oil & gas sectors also contribute to growth prospects. - The company prioritizes high-value and import-substitute stainless steel products to maintain margins despite moderate volume increases.

- Ratnamani Metals & Tubes Limited targets revenue growth of 15-20% for FY23, maintained despite market volatility. - EBITDA margins are expected in the 16-18% range, with quarter-on-quarter fluctuations possible due to product mix and raw material costs. - Utilization rates are expected to improve due to price corrections and good monsoons, supporting steady demand without major destruction. - The company anticipates maintaining a 20% growth trajectory over the longer term. - Growth is driven by strong order book (Rs. 2,345 crores as of August 1, 2022) across oil & gas, water, and process industries. - Focus on higher value-added stainless steel products is expected to boost margin quality rather than volume growth. - Maintenance capex remains controlled (~Rs. 40 crores) with most investments in capacity expansion and import substitution products. - Management confident of sustained earnings growth despite geopolitical and raw material cost challenges.

- Total order book as of August 1, 2022, stands at Rs. 2,345 crores, including Rs. 455 crores from exports. - Majority of the order book is from oil and gas and process industries; water segment orders are currently minimal. - Ongoing bids include approximately: - 250,000 tons in Gujarat water projects - 110,000-120,000 tons in Rajasthan water projects - 200,000-400,000 tons in MP water projects (some figures vary slightly in discussions) - 100,000 tons in oil & gas projects with tender results awaited - 20,000-25,000 tons for City Gas Distribution (CGD) projects, expecting to secure 10,000-15,000 tons in ERW pipes - New CGD rounds are expected in 5-6 months; existing awarded areas are under CAPEX planning. - ERW orders are booked until November, with expected booking through March.