Jindal Stainless LimitedFinancial Results for the Quarter ended June 30, 2022Q1FY23 Highlights

Consolidated performance:

  • Revenue stood at INR 5,474crores; up by 36% YoY
  • EBITDA at INR 549crores; down by 9% YoY
  • PAT at INR 329 crores; up by 8% YoY

Standalone performance

  • Revenue at INR 5,336crores; up by 39% YoY
  • EBITDA at INR 523 crores; down by 10% YoY
  • PAT at INR 287 crores; up by 6% YoY
  • Sales volume registered at 235,530 metric tonnes
  • Net lenders debt stood at INR 2,098crores

Gurugram, July 25, 2022: The Board of Directors of Jindal Stainless Limited (JSL) announced the unaudited financial results for the quarter ended June 30, 2022 today.JSL’s standalone revenue, EBITDA and PAT stood at 5,336 crores, 523 crores, and 287 crores respectively during Q1FY23. The Company recorded a sales volume of 235,530 metric tonnes. Company’s net external debt stood at INR 2,098 crores as on June 30, 2022, while it maintained its debt-to-equity ratio at ~0.6. Interest cost reduced by 17% to INR 67 crores for Q1FY23 as compared to CPLY. On a consolidated basis, JSL recorded a revenue of INR 5,474 crores, EBITDA of 549 crores, and PAT of 329 crores during Q1FY23.

Ongoing geopolitical tension and highly volatile macro-economic situation put pressure on the metal prices throughout Q1FY23. The initial phase of the quarter witnessed an upswing and raw material price hike across the world owing to the ongoing Ukraine-Russia conflict. However, raw material prices started melting down as globally speculative positions started unwinding and unnerved investors. Simultaneously, continuous dumping of imported stainless steel from China and Indonesia, resulted in the share of imports rising from 35% in Q1FY22 to 49% in Q1FY23.

JSL maintained a strong supply in railway wagons and railway coachesand contributed to the Indian Railways’ dedicated push to ease transportation of commodities like coal and enhance passenger commute. The Company also registered a steady demand from the automobile sector during Q1FY23 where its supply upped by nearly 40% as compared to Q4FY22. The Company is undertaking joint development of new stainless steel grades with auto majors for suitable product level applications, timely deliveries, and proactive redressal of customer concerns. Additionally, JSL is developing special stainless steel finishes for major players in the lifts and elevators segment.Demand from metro sector continues to be steady with major national metro projects in the pipeline. However, the pipe and tube segment witnessed a low market demand and negative price sentimentdue to a major price drop during this period.

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