Jindal Steel & Power Q4 Results: Profits Soars 100% To Rs 933 Crore, Rs 2/Share Dividend Declared

Jindal Steel & Power (JSPL) on Monday reported a remarkable surge in its consolidated net profit for the fourth quarter of FY24, reaching Rs 933 crore.

This figure marks a staggering 100% increase compared to the same period last year, showcasing the company's resilience and ability to capitalise on a robust domestic demand environment.

In Q4 FY23, JSPL had posted a consolidated net profit of Rs 466 crore, making the current performance a significant milestone in its financial trajectory.

Despite facing challenges, the Naveen Jindal-led company has demonstrated its capacity to leverage market opportunities and drive growth.

While the consolidated gross revenue for the January-March quarter remained flat at Rs 15,749 crore, the sequential analysis reveals a notable 15 percent increase in revenue.

However, the profit witnessed a 52 percent decline from the previous quarter, dropping from Rs 1,928 crore in Q3 FY24.

On a standalone basis, JSPL recorded a 4 percent rise in total revenue from operations, reaching Rs 13,773.4 crore compared to Rs 13,192.3 crore in the previous year.

The net profit also saw a substantial uptick, surging by 62 percent to Rs 1,281.53 crore.

The company attributed its strong performance to various factors, including a reduction in raw material costs and a partly offsetting impact from lower net sales realisation (NSR) during the quarter. Adjusted EBITDA stood at Rs 2,512 crore, adjusted for a one-off foreign exchange loss of Rs 68 crore.

JSPL announced a final dividend for the financial year 2023-24 at 200 percent, amounting to Rs. 2/- per equity share of face value Rs. 1/- each. This dividend payout is subject to the approval of shareholders at the ensuing Annual General Meeting and other necessary authorities.

"Crude steel production grew 9% YoY during Q4 FY24 to 37.3 MT and 13% YoY during FY24 to 144 MT. Finished steel consumption grew 9% YoY during Q4 FY24 to 35.6 MT and 14% YoY during FY24 to 136.3 MT, driven by robust domestic demand. Steel exports increased by 122% sequentially during Q4 FY24, primarily driven by higher exports of HRC and plates. Country-wise, India exported more into Vietnam and Spain, QoQ," JSPL said.

JSPL's consolidated net debt stood at Rs 11,203 crore as of March 31, 2024, compared to Rs 9,115 crore as of December 31, 2023. The increase in debt can be attributed to higher payments associated with the completion of several projects in line with the company's capital expenditure programme.

During the quarter, JSPL allocated Rs 2,523 crore towards capital expenditure, contributing to a total capex of Rs 8,517 crore for FY24. Consolidated production for the fiscal year stood at 7.92 metric tonnes (MT), underscoring JSPL's commitment to operational excellence and capacity expansion.

JSPL's remarkable financial performance amidst challenging market conditions underscores its resilience and strategic focus on driving sustainable growth. As the company continues to navigate through dynamic market dynamics, stakeholders remain optimistic about its future prospects and contribution to the steel industry's landscape.

JSPL About:

Iron and steel, power, and other segments make up the company. The manufacturing facilities of the company are situated at Patratu in Jharkhand, Angul in Orissa, and Raigarh in Chhattisgarh. Raipur is home to the company's machinery section. September 28th, 1979 saw the incorporation of Jindal Steel and Power Ltd.