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Jindal Steel (JINDALSTEL) investor relations material
Jindal Steel Q1 25/26 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Q1 FY26 saw stable steel production at 2.09 MT, but sales volume declined 10% quarter-on-quarter to 1.90 MT due to early monsoon and inventory buildup, while management reaffirmed full-year guidance.
Consolidated gross revenue fell 8% quarter-on-quarter to INR 14,336 crore, with adjusted EBITDA rising to INR 2,984 crore, up 35% sequentially and 20% quarter-on-quarter, driven by higher ASP and lower input costs.
Net debt increased to INR 14,400 crore, with net debt/EBITDA at 1.49x, mainly due to working capital buildup and CapEx.
Value-added steel sales reached a record 72%, with a strategic focus on downstream products and increased sales to sectors like power, shipbuilding, and infrastructure.
PAT for Q1FY26 was INR 1,496 crore, up 36% quarter-on-quarter.
Financial highlights
Adjusted EBITDA per tonne stood at INR 1,568, up 35% sequentially; adjusted EBITDA for the quarter was INR 2,984 crore.
Net debt increased by INR 2,443 crore sequentially, with net debt/EBITDA at 1.49x.
CapEx for the quarter was INR 2,226 crore, mainly for Angul expansion; cumulative spend INR 28,150 crore out of INR 47,043 crore announced.
Operating costs decreased 15% quarter-on-quarter, benefiting from lower coking coal prices and reduced conversion costs.
Finance costs fell 13% quarter-on-quarter due to loan repayments and lower interest rates.
Outlook and guidance
Management remains committed to full-year production and sales guidance despite Q1 volume decline.
Angul expansion is in final commissioning, with India's 2nd largest blast furnace set to commence production in Q2FY26.
Q2 coking coal costs expected to be $5/tonne lower; iron ore costs flattish; domestic steel prices currently 5–10% lower than Q1.
Inventory buildup in Q1 expected to be liquidated in Q2, improving cash position and reducing net debt.
Value-added steel ramp-up to continue, with auto segment and export volumes expected to increase quarter-on-quarter.
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