Vibhor Steel Tubes · tone and specificity signals across the available quarters.
Language signals
This is for the first time that we are seeing that the market is doing exceptionally well and the barometer of that to measure how good the market is, it is the order booking that reflects that the markets are very conducive, very good in India.
The growth of Vibhor Steel is directly proportional to the infrastructure growth we are seeing in India. Most of our products are going into infrastructure and power, both are the need of our nation at the moment.
We are targeting to reduce the dependency and bring it down to 70%... If there is an organic and natural growth, we will not back it down. If the pipe demand grows, we will let it grow.
I can totally say it'll be more than 4%. At least 1% there is no doubt on it. On a very conservative side, I'll give you an example—this month the transmission line tower order that we have has a margin of 10,000 rupees per ton while the conventional galvanizing pipe has a margin of 3,000 to 4,000 rupees per ton. So we are almost talking more than double.
The revenue to tell what will reach has depends on a lot of areas which is very difficult to tell because this is steel we're talking about and steel prices as an input has a lot of variation.
The projects that we are catering right now looks more promising than what we envisioned when we got into it. The inquiries, the order flow, everything the data itself speaks for it. So the expansion is very thoughtful—every step that we're doing in an expansion we're doing it only when we are very very sure of it.