JSW Steel Q2FY26 Net Profit Surges 307% YoY to ₹1,646 Crore as Revenue Climbs 14%

Mumbai, 17 October 2025: JSW Steel Limited (NSE: JSWSTEEL) delivered a robust performance in the second quarter ended 30 September 2025, reporting a consolidated net profit of ₹1,646 crore, a 307% increase year-on-year (YoY), despite a sequential moderation in margins. Consolidated revenue from operations reached ₹45,152 crore, marking a 14% YoY and 5% quarter-on-quarter (QoQ) rise, primarily driven by increased production and sales across its plants.

Consolidated Output Rises 17% YoY to Record 7.90 Million Tonnes, Driving Revenue Growth

JSW Steel achieved its highest-ever consolidated crude steel output of 7.90 million tonnes, up 17% YoY, supported by full-scale operations at the Dolvi plant and ramp-ups at JSW Vijayanagar Metallics (JVML) and BPSL expansions. Sales volumes increased 20% YoY to 7.34 million tonnes, reflecting strong domestic demand and export growth. Sequentially, production rose 9% and sales 10%, sustaining revenue momentum.

Reported EBITDA stood at ₹7,115 crore, up 31% YoY, while adjusted EBITDA increased 39% YoY to ₹7,849 crore, reflecting efficiency gains and improved cost management. EBITDA margins moderated slightly to 17.4% from 18.2% in Q1 FY26, while net debt reduced to ₹79,153 crore, lowering net debt-to-equity to 0.93x and net debt-to-EBITDA to 2.97x.

Indian Operations Drive 12% YoY Revenue Rise with Export Surge of 89%

In domestic operations, production reached 7.66 million tonnes, up 16% YoY, and sales climbed 19% YoY to 7.07 million tonnes. Revenue from operations in India grew 12% YoY to ₹42,149 crore, with domestic sales rising 14% YoY and exports surging 89% YoY, contributing 10% of total Indian sales. Capacity utilisation improved to 92%, up from 87% in Q1 FY26, supporting operational efficiency and cost absorption. Adjusted EBITDA stood at ₹7,614 crore, with EBITDA per tonne at ₹10,768, up 13% YoY, despite a 10% sequential decline from the previous quarter.

Strategic Expansions and Renewable Initiatives Accelerate Growth Prospects

JSW Steel continues to advance its capacity expansion and sustainability initiatives:

• JVML Fully Commissioned with 5 MTPA capacity, ramping up steadily.
• Dolvi Phase III Expansion (10–15 MTPA) remains on schedule for completion by September 2027.
• Kadapa EAF Project (1 MTPA) approved, expected to produce structural steel by FY29.
• Green Hydrogen Transition: Commissioned India’s first 25 MW electrolyser, producing 3,800 tonnes annually, with 885 MW of renewable energy operational as of Q2 FY26.
• Capex: ₹3,135 crore in Q2; ₹6,535 crore in H1 FY26, maintaining FY26 guidance at ₹20,000 crore.

JSW Steel Share Performance Reflects Stability Despite Minor Decline

The share price of JSW Steel Ltd traded at ₹1,166, down ₹6.10 (0.52%) as of 3:30 PM IST on 17 October 2025. The stock opened at ₹1,175, with a high of ₹1,178 and a low of ₹1,149.60. The market capitalisation stands at ₹2.84 lakh crore, with a P/E ratio of 58.92 and a dividend yield of 0.24%. The 52-week trading range spans ₹880 to ₹1,178.80, reflecting sustained market interest in the stock.

Management Highlights Operational Efficiency and Record Output

Seshagiri Rao, Joint MD & Group CFO, highlighted that the quarter marked “a record in steel output and a strong rebound in operational efficiency.” Improved energy mix, cost optimisation, and strategic expansions drove resilience. The company emphasised ongoing investments in renewable energy and capacity expansions to meet increasing domestic demand, particularly in infrastructure and housing sectors.

JSW Steel’s Q2FY26 results underscore strong operational efficiency, record production, and strategic expansions, supported by growing domestic demand and export volumes. The combination of capacity ramp-ups, renewable energy integration, and robust financial management positions the company for continued operational stability and sustained business growth.

REF:https://nsearchives.nseindia.com/corporate/Supriya_17102025145203_Results.pdf

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