During a media conference call, JSW Steel reported to start production in its new long steel mill in Dolvi from Dec’15, which has installed capacity of 1.4 MnT pa.
Today, JSW Steel has reported its Q2 FY16 results and shows an increase in long steel sales by 35% Y-o-Y and 5% Q-o-Q to 0.65 MnT.
The company sales of long steel products (rebar and wire rod) have increased in domestic market especially in retail segments.
As per the report:
1. Branded steel products sale grew by 115% Y-o-Y and 10% Q-o-Q.
2. In Q2 FY16, JSW’s retail sales are 9,76,000 MT; up by 16% against 842,000 MT in Q1 FY16.
3. TMT sales grew by 195% Y-o-Y and 33% Q-o-Q. Individual residential, real estate, commercial and industrial projects were major contributors.
JSW Steel quarterly operational performance
| JSW Steel Quarterly Performance (Standalone) | Percent Change | ||||
| Particular | Q2 FY15 | Q2 FY16 | Q1 FY16 | Y-o-Y | Q-o-Q |
| Sales – Flat | 2.47 | 2.50 | 2.40 | +1.2 % | +4.2% |
| Sales – Long | 0.48 | 0.65 | 0.62 | +35% | +4.8% |
Quantity in MT
Source: Company’s website; SteelMint Research
Primary rebar producers’ offers in Mumbai for 12 mm
| Month | Rebar Prices | M-o-M change |
| Jan’15 | 36,800 | – |
| Feb’15 | 35,800 | – 2% |
| Mar’15 | 35,100 | – 2% |
| Apr’15 | 35,100 | 0% |
| May’15 | 35,100 | 0% |
| June’15 | 33,715 | – 4% |
| July’15 | 32,952 | – 2% |
| Aug’15 | 31,950 | – 3% |
| Sept’15 | 31,500 | -1.4% |
| Oct’15 | 30,700 | -2.5% |
Basic prices in INR/MT; Excise duty & other taxes extra
Source: SteelMint Research
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