The company today released its operational performance today. Key highlights are mentioned below:
1. JSPL crude steel output up by 13% in Jul ’20- The company has reported a growth of 13% in its steel production volumes at 0.603 mn t in Jul’20 compared with 0.533 mn t in Jul ’19.
2. Company’s sales performance increased by 29% in Jul’20- Sales volume rose by 29% to 0.637 mn t as compared with 0.493 mn t in Jul’19. The revival of domestic demand was the main driver for consolidated sales growth.
The company increased its steel prices by around INR 2,250/t in Jul’20 amid improved demand in the domestic market.
3. Exports sales accounted for 39% of its total sales- Export sales contributed 39% of total standalone sales at 0.25 mn t in Jul ’20.
JSPL exported 0.9 mn t, accounting for 58% of total sales volumes in Q1. In Q1 FY ’21, the company exported value-added plates to Europe, Middle East, and Egypt. Wire rods and billets were exported to Southeast Asia and China. The proportion of exports in total sales volume is projected to drop in Q2 FY ’21.
“India Inc is getting back to normalcy, as companies mend supply chains, getting more workers back on the job, resulting in increased domestic steel demand,” said JSPL’s managing director V.R. Sharma. The government’s efforts to reboot the economy by announcing a stimulus package also supported steel demand, he added.
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