- Finished steel sales volume declines 7.3% y-o-y
- EBITDA rises 1.5% despite production disruptions
India’s leading stainless steel producer, Jindal Stainless Ltd (JSL) reported finished goods sales volumes of 580,805 tonnes in Q1FY27 (Apr-Jun’26), down 7.3% y-o-y from 626,252 t and 9.5% q-o-q from 641,743 t.
The decline was primarily attributed to temporary production disruptions during the initial weeks of the quarter following industrial gas shortages caused by geopolitical tensions in the Middle East. The company mitigated the impact by increasing the use of piped natural gas to offset limited availability of propane and LPG, helping maintain operations despite supply chain constraints.
Revenue and EBITDA improve despite lower volumes
Despite lower shipments, net revenue increased 10.5% y-o-y to INR 11,279 crore, supported by a higher share of value-added products. EBITDA rose 1.5% y-o-y to INR 1,329 crore, while profit after tax (PAT) increased 7.6% y-o-y to INR 769 crore.
The company reported net debt of INR 2,950 crore, with a net debt-to-equity ratio of 0.14x, reflecting a healthy balance sheet.
Domestic demand remains resilient across key sectors
Jindal Stainless said its performance was underpinned by healthy demand from mobility, infrastructure, manufacturing and consumer sectors. The automotive segment remained a key growth driver during the quarter, while demand for special-grade stainless steel also increased.
Sales to the white goods segment and metro rail projects registered healthy growth, while demand from Indian Railways remained firm, supported by higher coach production plans. The company also secured fresh orders for specialised stainless steel grades used in the power, oil and gas sectors.
The Special Products Division, comprising mint products, blade steel, precision strips and coin blanks, continued to record sequential growth, further supporting the company’s value-added product portfolio.
Domestic market dominates sales mix
The domestic market continued to account for the majority of JSL’s business, representing 89% of total sales during the quarter, while exports contributed 11%.
Despite a challenging global trade environment, exports remained stable, supported by expanding opportunities in South Korea, Japan and Brazil, alongside the company’s continued presence in Europe and the US.
Outlook
Jindal Stainless expects India’s long-term stainless steel demand to remain supported by infrastructure development, manufacturing expansion and urbanisation. While geopolitical uncertainties and global trade challenges may continue in the near term, the company remains focused on expanding its value-added product portfolio, strengthening customer partnerships, and improving manufacturing competitiveness through innovation, digitalisation and sustainable operations.
Although geopolitical tensions in the Middle East continue to pose supply chain risks, the company expects India’s long-term stainless steel demand to remain supported by infrastructure development, manufacturing growth, and urbanisation.
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