Shares of Steel Strips Wheels Ltd. surged 20% to ₹467.70 on Friday, October 23, striking a fresh 52‑week high on the BSE while the mid‑cap index slid 3‑4%. The rally came after the company posted a Q2 net profit of ₹117 crore, up 228% YoY, and a revenue of ₹1,930 crore, a 60.8% jump from ₹1,200.6 crore a year earlier.
The earnings before interest, tax, depreciation and amortisation (EBITDA) rose to ₹236 crore, boosting the EBITDA margin to 12.2% from 9.3% in the same quarter last year. This margin expansion indicates tighter cost control and higher operating efficiency in a period of rising raw‑material prices.
On the dividend front, the board declared an interim dividend of ₹1.50 per equity share, with Nov. 21, 2026 set as the record date. The payout comes on top of a ₹1,400‑crore greenfield plant in Chhatrapati Sambhajinagar, Maharashtra, slated to produce alloy wheels, steel wheels and tractor components for 60 million units annually.
The company also renewed its lease with AMW Autocomponent Limited for five years, maintaining the same terms, which should secure a stable supply chain for the new facility. Analysts note that the plant’s capacity and the 5‑year lease provide a solid foundation for future revenue growth.
Against a backdrop of a muted mid‑cap performance, Steel Strips Wheels has outperformed peers, registering a 116% gain year‑to‑date. The next earnings release on January 30, 2027, will be watched for guidance on the greenfield project and potential expansion of the wheel‑manufacturing portfolio.