Steel Strip Wheels Ltd (BSE: 513262, NSE: SSWL) has gained in morning trade on news of repeat order for Caravan wheels for EU Caravan market.
The scrip has continued the recent uptrend and was trading 1.4% higher at Rs 1229.90 in BSE after hitting a high of 1231 as against previous close of Rs 1212.90. The company has got new orders for 41,000 wheels to be shipped from SSWLs Chennai plant from next month. The company expects new orders from other European customers in near future. With the new order, SSWL has emerged as a leading supplier of Steel wheels market in European region.
Recently the company had given forward guidance for Q1 FY 18-19 of highest ever quarterly volume to be achieved with 40.50 lakh wheel confirmed order book. Consequently, highest ever quarterly turnover is also expected to be achieved in Q1.
The order book for both truck plants is fully sold out for FY19 and large upswing in CV segment is expected due to the new scrappage policy and the start of BS-VI. The new Chennai truck plant will cater to rising global and domestic truck wheels demand.