Vibhor Steel Tubes is a first-generation Indian manufacturer that has spent over two decades building a protected niche: it makes the steel pipes and tubes that carry water, gas, and oil, and is now using that steady foundation to branch into higher-margin infrastructure products like highway crash barriers and transmission towers. The company was founded in 2003 by Mr. Vijay Kaushik, a lawyer-turned-manufacturer, and grew from a single small unit in Mumbai making just 10,000 tons of pipe a year into a three-plant operation with 377,000 tons of annual capacity, all while anchored by an exclusive-like supply agreement with Jindal Pipes Limited that has been in place since day one. Its recurring approach is to use the predictable volumes and cash flows of its contract manufacturing engine to fund a deliberate shift from a pure pipe maker into a diversified supplier of fabricated steel structures, aiming to move from a business where pipes are 85% of revenue to one where new products contribute a quarter to a third of the total. # Business segments A single manufacturing engine with two layers - a contract-manufactured pipe business that provides the scale and stability, and a growing set of order-based infrastructure products that are being built on top of it. ## 1. Contract-manufactured steel pipes: the cash-flow engine **Nearly nine-tenths of the company's revenue comes from making pipes for a single customer under a long-term agreement that guarantees minimum volumes and passes raw-material price risk straight through to the buyer.** - **A guaranteed customer since founding** - the company has supplied finished steel pipes to Jindal Pipes Limited under the "Jindal Star" brand since 2003, and the current six-year agreement, renewed in April 2023, requires Jindal to order at least 100,000 metric tons every year, filling the majority capacity of the company's first two plants. - **Pricing that removes the commodity bet** - the pipes are priced on monthly card rates set by Jindal, so when the cost of hot-rolled steel coil rises or falls, the change is passed through to the customer rather than eating into the company's margin. - **A protected market by design** - Jindal Pipes does not make its own ERW (electric resistance welded) pipes, choosing instead to source them from Vibhor and just one other similar arrangement in Bangalore, which means the company is not competing in an open auction for this business. - **The export carve-out** - when pipes from this arrangement are sold overseas, Vibhor deals directly with the foreign customer, ships the product, and raises the invoice itself, giving it a direct international relationship that sits alongside the domestic contract. ## 2. Highway crash barriers: the first margin step-up **A value-added product where the company takes an order, locks in a profit, and then produces - the opposite of making pipes first and hoping for a buyer.** - **Order-book economics** - the business model for crash barriers is built on securing orders before procurement, so the company quotes a price that already bakes in its profit, reducing the exposure to raw-material price swings that defines the pipe business. - **Higher margin per ton** - crash barriers are one of the key margin accretive segments the company is focusing on to reshape its revenue mix. ## 3. Transmission towers and poles: the new high-margin bet **A recently launched line of fabricated steel structures for power grids, where the margin per ton is roughly two to three times that of a standard pipe.** - **A brand-new factory for a brand-new product** - commercial production of transmission line towers began in June 2025 at the company's third plant in Odisha, a facility purpose-built for power-transmission infrastructure and located near India's largest iron market for cheaper raw-material sourcing. - **The margin math is different** - based on current orders, transmission towers earn a margin of about Rs. 10,000 per ton, compared with roughly Rs. 3,000-4,000 per ton for conventional galvanized pipe. - **Orders are already on the books** - the company holds an order book of approximately 2,300 tons from state electricity boards in Madhya Pradesh and Chhattisgarh, plus a Rs. 16.87 crore order from Agrawal Infracab for fabricated and galvanized towers. - **Poles that replace towers** - the company has launched octagonal poles, expects to launch high-mast lighting poles by the end of March 2026, and is awaiting final certification for monopoles, a space-saving alternative to traditional lattice towers that is gaining traction as land prices rise even in rural areas. # Manufacturing footprint **Three plants with a combined 377,000 metric tons of annual capacity, each placed to serve a distinct geography and product mix, with the newest one built specifically for the shift beyond pipes.** - **Unit I in Maharashtra - the export and western hub** - the original plant at Roha, near Mumbai, holds 125,000 MTPA of capacity and handles every export order the company ships because of its proximity to ports, while also supplying the Maharashtra, Gujarat, and Madhya Pradesh markets. - **Unit II in Telangana - the crash-barrier centre** - located about 70 km from Hyderabad, this 96,000 MTPA plant makes ERW pipes and crash barriers, and is the site of the ongoing galvanizing-line expansion dedicated entirely to guardrail production. - **Unit III in Odisha - the new-infrastructure plant** - the newest and largest unit, at 156,000 MTPA on nearly 24 acres, was commissioned in 2025 and makes pipes, crash barriers, transmission towers, octagonal poles, and high-mast poles, with a second galvanizing tank being installed to keep pace with the order flow. - **Raw materials from the big names, with buffers built in** - hot-rolled coils come from SAIL and JSW, zinc from dealers of Hindustan Zinc, and the company keeps buffer inventory and long-term contracts in place to insulate itself from supply disruptions. # Group structure and partners **A single operating company with no subsidiaries as of the last balance-sheet date, though a new wholly-owned subsidiary focused on infrastructure steel products was incorporated in June 2026.** - **No subsidiaries or joint ventures through FY25** - the company operated as a single entity with one reportable segment, manufacturing all its products under one roof. - **A brief detour into hotels, quickly reversed** - the board approved a subsidiary in the hospitality business in August 2025, but withdrew the decision a month later after deciding to refocus entirely on steel manufacturing. - **Viyom Steel Infra - the new infrastructure-only subsidiary** - incorporated on June 25, 2026, as a wholly-owned unit, with the three promoter-family members as its first directors. - **Promoters hold nearly three-quarters** - as of March 2026, the promoter group owned 74.62% of the company, with the remainder largely held by non-institutional investors.