Why Jindal Saw Is Betting On Double-Digit Order Book Growth
Jindal Saw expects to post healthy margin amid rising costs on the back of increasing orders and rising inventory.
Jindal Saw Ltd. is confident of double-digit order book growth as reconstruction in Iraq, greater infrastructure spending in Saudi Arabia and continuing orders from GAIL (India) Ltd. ensures a healthy order book pipeline.
The iron pipe and fittings company doesn’t see much impact of a potential trade war between the U.S., Europe and China following the Donald Trump administration’s plans to impose tariffs on aluminium and steel imports, as it is largely dependent on domestic operations, Neeraj Kumar, the company’s group chief executive officer and whole-time director told BloombergQuint.
The nine-month margin for the current financial year stood at 13.2 percent and the company hopes to better that number even as raw material prices rise. A healthy order book pipeline and sufficient inventory levels will aid margin expansion, Kumar said.
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