ATAM - Atam Valves
📢 Recent Corporate Announcements
Atam Valves Limited has submitted its mandatory statement of deviation or variation for the quarter ended December 31, 2025. The company confirmed that it did not raise any funds through public issues, rights issues, preferential issues, or Qualified Institutions Placements (QIP) during the period from October 1, 2025, to December 31, 2025. As no funds were raised, there are no deviations or variations to report regarding the utilization of proceeds. This filing is a standard compliance requirement under Regulation 32 of SEBI (LODR) Regulations.
- Confirmed zero funds raised via public, rights, or preferential issues during Q3 FY2025-26.
- Statement filed in compliance with Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
- Audit Committee and auditors provided no comments as the report is 'Not Applicable'.
- The reporting period covers the quarter from October 1, 2025, to December 31, 2025.
Atam Valves Limited reported a weak set of numbers for Q3 FY26, with revenue from operations declining 8.76% sequentially to ₹10.41 crore. The company transitioned from a profit to a net loss of ₹0.57 crore for the quarter, compared to a PAT of ₹0.90 crore in Q2 FY26. Management attributed the poor performance to a temporary demand slowdown in key markets but maintains that the business model remains structurally sound. EBITDA also turned negative, standing at -₹0.35 crore for the period.
- Revenue from operations fell to ₹10.41 crore in Q3FY26 from ₹11.41 crore in Q2FY26.
- Company reported a Net Loss of ₹0.57 crore against a PAT of ₹0.90 crore in the previous quarter.
- EBITDA margins collapsed, resulting in an EBITDA loss of ₹0.35 crore compared to a profit of ₹1.60 crore in Q2FY26.
- Management cited short-term demand moderation in key markets as the primary driver for the soft quarter.
- The company maintained pricing discipline and market share despite the volume pressure.
Atam Valves Limited reported a weak performance for the quarter ended December 31, 2025, swinging to a net loss of ₹57.64 lakhs from a profit of ₹157.55 lakhs in the same period last year. Revenue from operations declined significantly by 40% YoY to ₹1,041.16 lakhs. The nine-month performance also shows a sharp downturn, with net profit falling to ₹156.13 lakhs compared to ₹416.84 lakhs in the previous year. Total expenses for the quarter exceeded total income, leading to a negative EPS of ₹0.50.
- Revenue from operations fell 40% YoY to ₹1,041.16 lakhs in Q3 FY26 from ₹1,738.17 lakhs in Q3 FY25
- Company reported a net loss of ₹57.64 lakhs for the quarter vs a profit of ₹157.55 lakhs in the year-ago period
- Nine-month PAT dropped by 62.5% to ₹156.13 lakhs from ₹416.84 lakhs YoY
- Basic and Diluted EPS turned negative at ₹(0.50) for the quarter ended December 2025
- Total expenses for the quarter stood at ₹1,116.72 lakhs, resulting in a loss before tax of ₹75.03 lakhs
Atam Valves Limited has submitted its compliance certificate under SEBI (Depositories and Participants) Regulations for the quarter ended December 31, 2025. The company's Registrar, Bigshare Services, confirmed that no dematerialization or rematerialization requests were processed during this period. Notably, the entire shareholding of the company is already maintained in demat form. This is a standard procedural disclosure required by Indian stock exchanges to ensure shareholding records are accurate.
- Quarterly compliance certificate filed for the period ending December 31, 2025.
- 100% of company shares are confirmed to be in dematerialized form.
- Zero requests received for demat or remat during the quarter.
- Confirmation provided by Registrar and Share Transfer Agent, Bigshare Services Private Limited.
Atam Valves Limited has announced the closure of its trading window for all designated persons and their immediate relatives starting January 1, 2026. This closure is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, ahead of the consideration of unaudited financial results for the quarter and nine months ending December 31, 2025. The trading window will remain closed until 48 hours after the financial results are officially declared to the stock exchanges. The specific date for the board meeting to approve these results will be communicated separately.
- Trading window closure begins on Thursday, January 1, 2026.
- Closure is for the purpose of considering Unaudited Financial Results for the period ended December 31, 2025.
- The window will reopen 48 hours after the financial results become generally available.
- The board meeting date for result approval is yet to be announced by the company.
Atam Valves Limited has successfully cleared the first Audit Stage (Q1 Certification) by the American Petroleum Institute (API). The company anticipates formal API certification by February 2026. This certification is expected to unlock tangible revenue streams, with meaningful traction from API-related business expected by the end of FY27. Atam Valves is also preparing for production expansion to manufacture larger valves up to 72 inches, compared to the current 12-inch capacity.
- Anticipates API certification by February 2026
- Plans to manufacture larger valves up to 72 inches
- Expects meaningful revenue from API-related business by the end of FY27
- Company established in 1985
Financial Performance
Revenue Growth by Segment
Total revenue from operations for Q2 FY26 stood at INR 11.40 Cr, representing a significant decline of 32.66% YoY compared to INR 16.93 Cr in Q2 FY25. Segment-specific growth percentages were not disclosed.
Geographic Revenue Split
Not disclosed in available documents, though manufacturing is centralized in Jalandhar, Punjab.
Profitability Margins
PAT margin for Q2 FY26 was 7.89%, down from 9.8% in Q2 FY25. For the full year FY25, PAT margin was 10.41% compared to 11.09% in FY24.
EBITDA Margin
EBITDA margin for Q2 FY26 was 14.03%, a decrease from 15.48% in Q2 FY25. EBITDA fell 38.93% YoY to INR 1.60 Cr from INR 2.62 Cr.
Capital Expenditure
The company has identified and planned new machinery for manufacturing large-radius industrial valves up to 72 inches, though specific INR Cr values for this planned capex were not disclosed.
Operational Drivers
Raw Materials
Not disclosed, though the company operates three specialized foundry shops suggesting use of metal alloys and steel.
Capacity Expansion
Current manufacturing capacity is limited to 12-inch valves; the company is expanding to manufacture large-radius industrial valves up to 72 inches to serve high-pressure sectors like oil & gas.
Strategic Growth
Expected Growth Rate
15%
Growth Strategy
Growth will be driven by obtaining the American Petroleum Institute (API) certification by February 2026, which will unlock revenue streams in oil & gas and petrochemicals by end of FY27. Additionally, expanding valve capacity from 12 inches to 72 inches allows the company to capture high-value infrastructure projects.
Products & Services
Industrial and plumbing valves and fittings, specifically Gate, Globe, and Ball valves designed for extreme temperatures (-192°C to 550°C) and high pressures (up to 10,000 psi).
Brand Portfolio
ATAM, FEBI
New Products/Services
Large-radius industrial valves up to 72 inches, expected to contribute to meaningful revenue traction by the end of FY27.
Market Expansion
Targeting high-value opportunities in oil & gas, petrochemicals, and large-scale infrastructure globally following API certification.
External Factors
Industry Trends
Ongoing infrastructure push and rising industrial investments across sectors are key tailwinds. The industry is shifting toward higher quality standards, making API certification a critical competitive requirement.
Competitive Moat
Moat is built on specialized manufacturing capabilities for valves that withstand extreme conditions (-192°C to 550°C and 10,000 psi) and the upcoming API certification, which serves as a global benchmark for quality.
Macro Economic Sensitivity
High sensitivity to infrastructure push and industrial investment cycles, as evidenced by the 32.66% revenue drop during a challenging macro period.
Regulatory & Governance
Industry Regulations
The company must comply with American Petroleum Institute (API) standards for global manufacturing readiness. It has successfully cleared the API Q1 audit stage.
Legal Contingencies
No significant material orders were passed by regulators or courts impacting the going concern status during FY25.
Risk Analysis
Key Uncertainties
The primary uncertainty is the timing of volume recovery and the exact timeline for converting API-related trials into orders, which management expects by end of FY27.
Geographic Concentration Risk
Manufacturing is concentrated in Jalandhar, Punjab, at a single industrial area location.
Technology Obsolescence Risk
The company is mitigating technology risk by upgrading machinery to produce larger 72-inch valves.