Sajjan Jindal-led JSW Steel has reported that its net profit in the June quarter nearly trippled to ₹2,428 crore against ₹839 crore logged in the same period last year on lower cost.

However, quarter-on-quarter net profit was down 35 per cent compared to ₹3,741 crore recorded in March quarter on lower realisation.

Sales were up 11 per cent at ₹41,771 crore (₹37,500 crore). The company has gained ₹331 crore from sale of its interest in joint ventures.

Consolidated crude steel production for the quarter was up 11 per cent year-on-year at 6.43 million tonnes, but lower by 2 per cent q-o-q. 

The average capacity utilisation was down in the quarter under review at 92 per cent against 96 per cent in Q4 FY23 as JSW Steel scheduled shutdowns in Indian operations.

Steel sales in the quarter were up 27 per cent y-on-y at 5.71 mt, but lower by 13 per cent q-o-q, impacted by channel de-stocking, with exports also being impacted by delayed loading due to the cyclone on the western coast of India towards the end of the quarter.

EBITDA, capex

Consolidated EBITDA was down 11 per cent at ₹7,046 crore against ₹7,939 crore in the March quarter.

The company registered Operating EBITDA at ₹4,861 crore, higher by 45 per cent y-o-y but dipped 22 per cent q-o-q. The EBITDA was lower q-o-q primarily due to lower sales volumes and higher iron ore costs, partially offset by lower coal costs and power and fuel costs.

Of the planned capex of ₹18,800 crore in this fiscal, the company spent ₹4,094 crore in the June quarter. The company plans to add 9 mtpa capacity with an investment of ₹51,925 crore in next two fiscals.

Bhushan Power & Steel’s revenue and EBITDA were at ₹5,474 crore and ₹703 crore respectively. BPSL reported a net profit of ₹199 crore for the quarter.

The net debt increased to ₹66,797 crore in the quarter, driven mainly by higher working capital.

CFO appointment

The company has appointed Swayam Saurabh, 45, as the Chief Financial Officer, Designate. He is a qualified Chartered Accountant and a B.Com Graduate from Banaras Hindu University.

He joins JSW Steel from Arvind where he worked as the Chief Financial Officer. He has worked in senior leadership roles at Royal Philips, Hindustan Zinc, Ola, Asian Paints and Larsen & Toubro.

Related Topics
comment COMMENT NOW