Jindal Steel and Power Q1 Results: 14.4% decline in net profit at Rs 1,686.94 crore

In June 2023, the company's quarterly net profit was Rs 1,686.94 crore, a decrease of 14.4%. In the same quarter a year prior, the company had generated a profit of Rs 1,970.13 crore.

In the quarter that ended in June, the company's consolidated revenue from operations fell 3.5% YoY to Rs 12,588.34 crore from Rs 13,045.41 crore in Q1FY23. In the first quarter, total revenue decreased to Rs 12,643.63 crore. It was Rs 13,069.17 crore at the same time last year.

Operating EBITDA, was Rs 2,704 crore in June 2023, a decrease of 17% from the previous year. In comparison to the same quarter last year, when its margin was 26.4%, it dropped 550 basis points to 20.9%.

The state-of-the-art pellet plant at Angul was inaugurated by Jindal Steel Odisha (JSO), a fully owned subsidiary of JSP, during the quarter. According to the company, this plant is the first among several that will be inaugurated over the course of the next two years as it moves toward doubling Angul's steel production capacity.

Additionally, sales were 1.84 metric tonnes, up 6% YoY and down 9% quarter on quarter, due to seasonally low consumption in the domestic market. Exports made up 10% of the total during the quarter, down from 11% in the fourth quarter of FY23.

While maintaining ongoing capex, the balance sheet keeps becoming better. According to the company, the total capex for the quarter was Rs 1,899 crore largely driven by the Angul expansion projects.

Content source: Media reports