JSW Steel has reported a big jump in its net profit for the April–June quarter of FY25. The company earned ₹2,209 crore in profit—more than double the ₹867 crore it made in the same period last year. This strong performance was helped by higher sales and lower expenses.
Revenue and Costs:
- Total income rose slightly by 0.9% to ₹43,497 crore compared to ₹43,107 crore a year ago.
- Expenses dropped to ₹40,325 crore from ₹41,715 crore, helping boost profits.
Steel Production and Sales:
- Crude steel output went up by 14% YoY to 7.26 million tonnes.
- Steel sales rose 9% YoY to 6.69 million tonnes.
- Domestic sales jumped 12% to 5.96 million tonnes, while exports fell 20%, now making up only 7% of total sales.
Financial Highlights:
- Revenue from operations stood at ₹43,147 crore.
- Operating EBITDA (a measure of earnings) increased 37% YoY to ₹7,576 crore, with a strong margin of 17.6%.
- Net debt rose to ₹79,850 crore by the end of June, up ₹3,287 crore from March, due to higher working capital needs.
Read more: China’s Central Bank Faces Hurdle in HDFC Bank Bonus Over Investment Rules
Indian Operations:
JSW Steel’s Indian operations played a major role in its strong results:
- Crude steel output in India rose 15% YoY to 7.02 million tonnes.
- Steel sales in India were up 9% YoY at 6.43 million tonnes.
- Revenue from Indian operations came in at ₹40,510 crore.
- Operating EBITDA from Indian operations rose 38% to ₹7,496 crore, with a margin of 18.5%.
- Profit after tax from Indian operations more than doubled to ₹2,517 crore (up 118%).
Legal Update on Bhushan Steel Case:
JSW Steel has also filed a review petition in the Supreme Court regarding the May 2 ruling that cancelled its acquisition plan for Bhushan Steel and Power Ltd (BSPL). JSW had bought BSPL in 2019 for ₹20,000 crore through an insolvency process.
Also See: HDFC AMC Q1 Results: Sales Up 25% to ₹968 Cr, Profit Jumps 24%
The company believes it has strong legal grounds to challenge the verdict. The Supreme Court has ordered a halt on further proceedings until the review is considered. The Committee of Creditors and the Resolution Professional have also filed review petitions.
