MAN Industries to invest ₹600 crore in new manufacturing unit in Saudi Arabia

The new manufacturing unit will be established at an investment of ₹600 crore, the company said in a filing to the stock exchanges.

“We are pleased to announce an expansion plan of setting up a new plant at Dammam, Saudi Arabia, with an approx. project cost of ₹600 crore,” MAN Industries informed the bourses.

The investment will be made through debt and internal accruals, the company said.

The company said that its new plant in Saudi Arabia will have line pipe manufacturing and a coating facility. “This plant will include line pipe manufacturing and a coating facility, which will cater to Saudi Arabia’s growing demand,” it said.

MAN Industries disclosed that it has an existing capacity of 1.10 Mt. (Product Mix), and utilises approximately 50% to 60% of its total capacity. The new plant will help the company for a capacity addition of 0.4 Mt. - 0.5 Mt.

Man Industries informed the bourses that the project will be completed within 12 months.

The company also released its quarterly results for Q1 of the current financial year on Monday, August 12.

In Q1FY25, the company reported a consolidated revenue from operations at ₹748.7 crore, up by 52.7% year-on-year (YoY). The EBITDA stood at ₹57.9 crore, up by 14.7% YoY. The company’s net profit increased nearly 70% YoY to ₹19.05 crore.

“The current unexecuted order book, as of today, stands at approx. ₹4,000 crore, to be executed within the next 6 to 12 months,” MAN Industries said in a press release.

Shares of MAN Industries settled 1.8% lower at 445.6 apiece on the NSE.