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JSW Steel Q1FY26 results: Consolidated net profit jumps 158% to ₹2,184 cr

JSW Steel on Friday reported a 158 per cent year-on-year (YoY) jump in consolidated net profit (attributable to owners of the company) to Rs 2,184 crore for the June quarter of 2025-26 (Q1FY26), driven by higher volumes and lower coking coal costs, a key raw material. In the year-ago period, the company's net profit had stood at Rs 845 crore. The net profit exceeded the Bloomberg consensus estimate of Rs 2,095 crore. JSW Steel's total revenues on a consolidated basis for Q1FY26 were Rs 43,147 crore, 0.5 per cent higher than Rs 42,943 crore a year ago. The Bloomberg estimate for revenue was Rs 43,004 crore. Sequentially, revenue was down 3.7 per cent due to planned maintenance shutdowns, while net profit was up 45.3 per cent. Capacity utilisation at the Indian operations was 87 per cent during the quarter, compared to 93 per cent in Q4FY25. Steel sales for the quarter stood at 6.69 mt, higher by 9 per cent YoY, driven by higher domestic sales. Domestic sales at 5.96 mt increased by 12 per cent YoY. However, exports continued to be muted, with a 20 per cent YoY drop. Exports constituted 7 per cent of sales from the Indian operations for Q1FY26. JSW Steel has outlined a capital expenditure (capex) plan of Rs 20,000 crore for FY26. The consolidated capex spend during Q1FY26 was Rs 3,400 crore. The company's net debt as of June 30, 2025, stood at Rs 79,850 crore, an increase of Rs 3,287 crore from March 31, 2025. The company said the increase was mainly due to investment in working capital. In its statement, the company said that the growth outlook for the Indian economy remained robust despite global uncertainties. "Domestic steel demand continues to be good, aided by healthy capex by the government in Q1," it said. However, it added that while finished steel imports have moderated, exports have fallen as well, and India continues to be a net importer. "Low-priced imports remain a concern, accentuated by changes in global trade flows due to rising tariff uncertainties," the company said. Among other board decisions was approval for entering into a share purchase option agreement to acquire an additional stake of up to 24.9 per cent in JSW Severfield Structures Limited from its existing joint venture partner, Severfield plc group. The cost of acquiring the additional stake of up to 24.9 per cent would be up to a maximum value of Rs 235.10 crore. The company also announced that the board had approved the incorporation of a joint venture company between JSW Steel and Andhra Pradesh Mineral Development Corporation to set up the Konijedu Marlapadu integrated iron ore project in Andhra Pradesh. The project will mine and beneficiate low-grade iron ore at a cost of Rs 1,075 crore.