Steel Strips Wheels shares surge most in over a month, hit 52-week high after profit surges 209% in Q2

Shares of Steel Strips Wheels Limited (SSWL), the country's leading steel wheel rim maker, advanced as much as 15%, its biggest single-day gain since September 1, to hit a fresh 52-week high of ₹449 on the National Stock Exchange (NSE) on Friday, October 23, after the company reported its September quarter earnings.

SSWL on Friday reported a standalone net profit of ₹119 crore at the end of September quarter, marking an increase of 209% from ₹39 crore in the same period last year.

Its revenue from operations advanced 61% to ₹1,930 crore in the second quarter of current financial year from ₹1,201 crore in the year-ago period.

The Chandigarh-based company reported strong operational performance as its earnings before interest, taxes, depreciation, and amortization (EBITDA) also known as operating profit more than doubled to ₹235 crore and EBITDA margin improved by 280 basis points to 12.17%.

The company's board declared an interim dividend of ₹1.5 per share.

The company's board approved the appointment of Pranav Jain, vice president (finance and accounts) as the senior management personnel of the company.

SSWL's board also approved the proposal of setting up greenfield manufacturing facility at Chhatrapati Sambhajinagar, Maharashtra for the manufacturing of alloy wheels, steel wheels for passenger vehicles, and hot stamping line.

The estimated outlay is expected to be ₹1,400 crore spread over a period of 60 months.

Its board also approved the renewal of lease agreement between the company and AMW Auto Component Limited (AACL), a wholly owned subsidiary of the Company for a period of up to 5 years commencing from 26.11.2026, extendable from time to time as may be required, for taking premises on leasehold basis from AACL, on the same terms and conditions as previously approved, SSWL said in a regulatory filing.

As of 12:28 pm, SSWL shares traded 14% higher at ₹445, outperforming the NIFTY50 index which was down 1.2%.