Jindal Steel (JINDALSTEL) Q2 25/26 earnings summary

Executive summary

• Commissioned major Angul expansions: 4.6 MTPA Blast Furnace and 3 MTPA BOF, increasing steelmaking capacity to 12.6 MTPA, with a target of 15.6 MTPA by year-end.

• Q2FY26 performance impacted by prolonged monsoon, seasonal weakness, and planned plant shutdowns, resulting in lower production and sales volumes.

• Steel production reached 2.00 MT and sales were 1.87 MT for Q2FY26.

• New CEO Gautam Malhotra appointed, emphasizing operational excellence, value creation, and AI-driven efficiency.

• Approved unaudited standalone and consolidated financial results for Q2 and H1 FY26, with board and audit committee review.

Financial highlights

• Q2FY26 consolidated gross revenue: ₹13,505 Cr (-6% QoQ); net revenue: ₹11,708 Cr; adjusted EBITDA: ₹1,875 Cr; PAT: ₹635 Cr.

• Adjusted EBITDA per ton was ₹10,010; margin at 13.7%-16%.

• Standalone PAT for Q2FY26 was ₹921 Cr.

• Non-recurring plant shutdown cost was ₹174 Cr; total one-off impact estimated at ₹250 Cr.

• H1FY26 consolidated gross revenue: ₹27,841 Cr; adjusted EBITDA: ₹4,859 Cr; PAT: ₹2,131 Cr.

Outlook and guidance

• Angul expansion on track to reach 12 MTPA and overall steelmaking capacity to 15.6 MTPA within FY26.

• Confident in achieving full-year volume guidance, expecting ramp-up in H2 as new capacities come online.

• Annual growth CAPEX of ₹7,500–10,000 Cr planned, with target pre-tax ROCE of 18–20%.

• Net debt to EBITDA expected to remain below 1.5x through the cycle.

• Q3 coal consumption cost expected to rise by $3-$5/ton sequentially; steel prices anticipated to improve post-festive season.