Low demand due to the monsoon season notwithstanding, Jindal Steel & Power (JSPL) reported the highest growth in sales and production in the July-September quarter of FY22 on the back of robust exports.
JSPL’s steel sales volume surged 32 per cent q-o-q and 10 per cent y-o-y to hit a record of 2.13 million tonnes during the quarter. Meanwhile, in Q2FY22, JSPL steel sales for the first time breached 2 million tonnes for the quarter, the company said Tuesday in a release.
Exports continue to boost sales with the share of exports rising to greater than 40 per cent in Q2FY22 (from 34 per cent in Q1FY22 and 38 per cent in Q2FY21). Steel production also increased to 1.93 million tonnes in Q2FY22, posting a modest growth of 5 per cent y-o-y. Inventory levels continue to decline as sales volume surpassed production for the third consecutive month in September,” the release added.
“JSPL’s strength lies in its dedicated team, which is defying all odds and continue marching on the growth path. JSPL has now better raw materials security, which will add significant value to the company,” said VR Sharma, Managing Director, JSPL in a statement. He further added that one of the company’s Australian coking coal mine is operational and the first shipment is expected in November.
“It will reduce our coking coal dependency significantly. JSPL has been shortlisted as preferred bidder for Kasia (Odisha) iron ore mine by Government of Odisha, which will further enhance our raw material security. We are fully committed and believe in India growth story,” Sharma added.