AgenciesMumbai: consolidated net profit jumped 229% to Rs 170.20 crore during the December quarter of FY21 as against a net profit of Rs 51.68 crore during the same period last year, mainly on account of better sales volume in the domestic market.
“Buoyed by increasing demand in auto, P&T and hollowware sectors, the outlook for the domestic stainless steel market remains strong,” said Managing Director of Jindal Stainless Ltd,Abhyuday Jindal in a media statement.
A V-shaped recovery in stainless steel demand in the domestic markets bolstered JSL’s sales volume, said the company in a statement on Thursday.
JSL’s sales volume was recorded at 250,562 tonnes in Q3 of FY 21, up 5% year-on-year. Company’s total exports reduced by 13%, whereas domestic sales were up 13% year-on-year.
“Continuous and accelerated deleveraging, along with interest rate rationalisation, helped bring down the interest cost by 16% over the corresponding period last year (CPLY) to Rs 117 crore during Q3 of FY21”, the statement said.
The company’s earnings before interest, taxes, depreciation and amortization stood at Rs 473 crore with the Ebitda margin at 13.2%. JSL’s consolidated revenue stood at Rs 3,585 crore, up by 9% yoy.
“The third quarter witnessed healthy revival in end-user segments like automotive, pipes & tubes, and industrial fabrication…JSL was able to capitalize on the demand growth in the two-wheeler and passenger vehicle segments,” the company’s statement said.
JSL reported a reduction of Rs 890 crore in debt during the 9-month period ending December. The company’s total debt reduced to Rs 2,765 crore as on December 31, 2020, from Rs 3,655 crore as on March 31, 2020.
The recent announcement of a temporary suspension of Countervailing Duty (CVD) in the Union Budget is expected to have a significant adverse impact on the domestic industry, as per the company.
“This will allow free flow of subsidized stainless steel products in the Indian market, which is a big setback for the domestic industry, which is already operating at 60% of its capacity,” said Jindal.
“Buoyed by increasing demand in auto, P&T and hollowware sectors, the outlook for the domestic stainless steel market remains strong,” said Managing Director of Jindal Stainless Ltd,Abhyuday Jindal in a media statement.
A V-shaped recovery in stainless steel demand in the domestic markets bolstered JSL’s sales volume, said the company in a statement on Thursday.
JSL’s sales volume was recorded at 250,562 tonnes in Q3 of FY 21, up 5% year-on-year. Company’s total exports reduced by 13%, whereas domestic sales were up 13% year-on-year.
“Continuous and accelerated deleveraging, along with interest rate rationalisation, helped bring down the interest cost by 16% over the corresponding period last year (CPLY) to Rs 117 crore during Q3 of FY21”, the statement said.
The company’s earnings before interest, taxes, depreciation and amortization stood at Rs 473 crore with the Ebitda margin at 13.2%. JSL’s consolidated revenue stood at Rs 3,585 crore, up by 9% yoy.
“The third quarter witnessed healthy revival in end-user segments like automotive, pipes & tubes, and industrial fabrication…JSL was able to capitalize on the demand growth in the two-wheeler and passenger vehicle segments,” the company’s statement said.
JSL reported a reduction of Rs 890 crore in debt during the 9-month period ending December. The company’s total debt reduced to Rs 2,765 crore as on December 31, 2020, from Rs 3,655 crore as on March 31, 2020.
The recent announcement of a temporary suspension of Countervailing Duty (CVD) in the Union Budget is expected to have a significant adverse impact on the domestic industry, as per the company.
“This will allow free flow of subsidized stainless steel products in the Indian market, which is a big setback for the domestic industry, which is already operating at 60% of its capacity,” said Jindal.
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