India: SAIL’s crude steel production, sales rise q-o-q in Q3FY26

• Coking coal costs to rise further in Q4
• FY27 capex guided higher at INR 15,000 crore

Steel Authority of India Limited (SAIL) has posted q-o-q rise in crude steel production & sales in Q3FY26.

The company has continued to maintain a strong investment push this year, with cumulative capex spending of around INR 5,428 crore during the first nine months of FY26. The company remains focused on ongoing modernization and expansion projects across its integrated steel plants. Looking ahead, the company has guided for a significantly higher capex outlay of nearly INR 15,000 crores in FY27, reflecting its commitment to capacity enhancement, operational efficiency and long-term growth.

Highlights

• Crude steel production rises q-o-q: The company’s crude steel production rose by 4% on quarterly basis to 4.8 mnt in Q3FY26 as against 4.6 mnt in the last quarter. On yearly basis too, production was up by 4% from 4.6 mnt in the same period last year.
• Sales volumes up q-o-q: Sales volumes rose by 4% q-o-q to 5.1 mnt during the quarter as against 4.90 mnt in the preceding quarter. Likewise, sales increased 16% on the year from 4.4 mnt in Q3FY25.
• EBITDA down q-o-q: The company’s EBITDA declined 7% to INR 2,630 crores in Q3 as against INR 2,829 crore in the previous quarter. Meanwhile, the same rose 10% from INR 2,389 crores in the CPLY.
• Finished Steel Inventory: SAIL’s finished steel inventory stood at around 1.5 mnt as of 31 December 2025, while in-process inventory was approximately 0.9 mnt, taking total inventory to 2.4 mnt. This marks a decline from 2.7 mnt at FY25-end, supported by strong sales and improved dispatches.
• Net Sales Realisation (NSR): The company’s overall net sales realisation declined sequentially in Q3FY26 to INR 47,735/t from INR 48,836/t in Q2FY26. Long product realisations, including rebars, improved marginally to INR 49,000/t, while flat product realisations, including HRC, dropped to INR 46,500-46,600/t, reflecting weaker pricing in flats.
• Coking Coal prices: The average imported coking coal cost in Q3FY26 was INR 18,350/t, slightly higher than Q2FY26. The company expects further cost escalation in Q4FY26, with consumption costs rising by about INR 1,200/t in February and another INR 1,000/t in March, keeping raw material pressures elevated in the near term.