Steel Strips win new order; stock zooms nearly 10 per cent in a week
Steel Strips Wheels Limited (SSWL) announced that the firm has received export orders for over 30,000 wheels for the US Caravan trailer market. The order is over USD 2,37,000 from the market in the United States of America (USA).
The company further stated that the order is expected to be executed in the month of September at its Chennai plant. Looking at the company’s growing order book, an inflow of more orders is expected to come from multiple other customers as well as the markets, which have started to gain stability along with business operations and demand, which is also continuing to recover.
Recently, SSWL had also bagged an order worth EUR 1,38,000 for the production of 20,000 wheels for the EU Caravan trailer market.
SSWL is a leading player in the domestic wheel and rim industry. The company also has a strong strategic partnership with companies leading to its long-term growth. Increasing orders from clients in the USA and Europe is expected to drive revenue growth.
The company’s business operations were affected due to the implementation of the recent nationwide lockdowns. As a result, for Q4FY20, on a standalone basis, the net sales of the company declined by 26.5 per cent YoY to Rs 387.07 crore while the company reported a net loss of Rs 5.25 crore for the quarter ended March 2020.
The stock of SSWL has gained by 7.57 per cent since the beginning of August and by 13.60 per cent since the beginning of FY21.
On Monday, the stock of the company was trading at Rs 429, up by 2.19 per cent or Rs 9.20 per share. The 52-week high is Rs 798 and the 52-week low is Rs 317.35 on BSE.