Tube Investments of India Limited (TII), part of the Murugappa Group, is expanding its manufacturing footprint and capacity across core and emerging businesses while maintaining steady growth momentum in the second quarter of FY2025–26.
Capacity utilisation across TII’s engineering plants stood at 80 to 85 percent during the September quarter. The company commenced commercial production at its newly established facilities in Nasik for cold rolled strips and Fulton for precision components. These plants are expected to meet the company’s capacity needs for the next one to two years. “We are currently operating at high capacity levels and are well covered for at least the next two years of projected growth,” said Managing Director Mukesh Ahuja. “The new units have been designed to handle volume expansion efficiently as demand continues to rise.”
TII plans to invest between INR 10 billion and INR 11 billion over the next year, with around INR 3–4 billion allocated for the standalone core business to support capacity expansion and process improvement. Another INR 4 billion is earmarked for growth businesses such as TI Medical and 3Xper InnoVenture, which include greenfield projects and new verticals in medical technology. The remaining INR 2–3 billion is reserved for mergers and acquisitions in allied manufacturing domains. “We are taking a disciplined approach to capital allocation, focusing on building scalable manufacturing platforms in both traditional and high-growth sectors,” said Executive Chairman M. A. M. Arunachalam.
On the export front, TII derived about 15 percent of its total revenue from overseas markets. Exports to the United States, which contribute 4–5 percent of total sales, declined by roughly 10 percent in the second quarter due to higher tariffs and softer demand in distributor markets. However, supplies to original equipment manufacturers remained stable. The company continues to hold a 50 percent share in the domestic industrial chain market, valued at approximately INR 9 billion, supported by strong positions in both automotive and industrial segments.
The engineering division, which remains the backbone of the company’s manufacturing operations, recorded a 10 percent increase in volume compared with the same quarter last year. The mobility business expanded its product mix through specialised and electric bicycles, while the railway components business— which has completed its readiness for production— is expected to begin supplies in the first quarter of FY2026–27 following minor delays in the customer supply chain.
In the electric mobility segment, managed by TI Clean Mobility, the company achieved a 21 percent year-on-year and 31 percent sequential increase in revenue, with key product introductions planned for later this fiscal year. “Despite increased competition, we continue to maintain over 50 percent market share in the electric truck category,” said Jalaj Gupta, Chief Executive Officer of TI Clean Mobility.
Following these operational developments, TII reported standalone revenue of INR 21.19 billion and profit before tax of INR 2.5 billion for the quarter ended 30 September 2025, up 11.5 percent from a year earlier. Free cash flow stood at INR 1.83 billion, while return on invested capital was 44 percent for the quarter.
Headquartered in Chennai, Tube Investments of India Limited manufactures precision steel tubes, metal formed products, chains, and bicycles under the brands Hercules, BSA, and Montra. It is part of the INR 902 billion Murugappa Group, whose diversified interests include engineering, automotive components, financial services, and agriculture.
