JSW Steel Ltd. reported a net profit of ₹867 crore for the quarter ending June 30, down from ₹2,428 crore in the same quarter last year. The drop is due to weaker export markets and strong competition from Chinese steel. Tax expenses for the quarter were ₹513 crore, compared to ₹1,052 crore last year.
Revenue for the period increased by just 2% year-on-year to ₹42,943 crore from ₹42,213 crore. The company said, “Steel exports fell 51.1% QoQ and 35.8% YoY to 1.49 million tonnes. India remained a net importer of steel in Q1 FY25, similar to FY24. Elevated imports, particularly from China and FTA countries, pose a challenge to the domestic steel industry.”
On a standalone basis, net profit for the June quarter was ₹1,205 crore, a 29% decline year-on-year. Total revenue from operations was flat year-on-year at ₹32,654 crore due to lower sales volumes. Consolidated crude steel production for the quarter was 6.35 million tonnes. The company spent a consolidated capex of ₹4,466 crore. Margins dropped to 12.8% from 16.7% in the same quarter last year.
Before the earnings announcement, shares of JSW Steel Ltd. fell about 5% to ₹887.90 on the NSE. The stock remains almost flat on a year-to-date basis. JSW Steel Ltd is one of India’s leading steel manufacturing companies, renowned for its diverse product portfolio and advanced technology in steel production. With a significant presence both domestically and internationally, JSW Steel operates state-of-the-art steel plants in various locations, including Vijayanagar, Salem, and Dolvi in India. The company is known for producing a wide range of steel products, including hot-rolled coils, cold-rolled coils, galvanized steel, and TMT bars, catering to various industries such as automotive, construction, and infrastructure.
JSW Steel is committed to sustainability and innovation, continuously striving to reduce its carbon footprint through various environmental initiatives and technological advancements. Its focus on quality, customer satisfaction, and operational efficiency has positioned JSW Steel as a key player in the global steel industry.
