Steel Authority of India (SAIL) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 saw improved sales volumes and operational efficiency despite challenging market conditions and declining steel prices, with sales volume rising to 4.43 million tonnes from 3.81 million tonnes year-over-year.

• Revenue from operations for 9M FY25 was ₹73,162 crore, with total sales of 12.54 MT and crude steel production of 14.08 MT.

• PAT for 9M FY25 was ₹970 crore, with EBITDA at ₹7,983 crore and EPS at 2.35.

• The company is advancing on decarbonization, product mix improvement, and capacity expansion plans, with ongoing CSR and sustainability initiatives.

Financial highlights

• Q3 FY25 revenue was ₹24,490 crore, EBITDA ₹2,389 crore, and PAT ₹126 crore; 9M FY25 revenue was ₹73,162 crore, EBITDA ₹7,983 crore, and PAT ₹970 crore.

• Crude steel production for 9M FY25 was 14.08 MT; saleable steel sales reached 12.54 MT.

• EBITDA margin for 9M FY25 was 11%.

• Debt-equity ratio as of Q3 FY25 was 0.72; net worth at ₹54,623 crore.

• Average blended steel price in Q3 was ₹49,700/ton, dropping to ₹48,400/ton in January.

Outlook and guidance

• Management expects steel prices to recover in Q4, with positive market sentiment, especially for flats.

• Coal costs are projected to decline further in Q4, providing cost relief.

• FY25 CapEx target is ₹5,700 crore, with ₹3,900 crore spent by December; FY26 CapEx expected at ₹7,500 crore.

• Full-year crude steel production target is 18.5 MT; sales volume target is 17.5 MT.

• India is projected to lead global steel demand growth in 2025 at 8.5%.