After 6 Years of Losses, JSPL Reports Huge Profit in 2020-21
Buoyed by higher sales and increased margin Jindal Steel and Power Ltd, after 6 years of losses, announced net profit of INR 5,527 crore for financial year
Buoyed by higher sales and increased margin Jindal Steel and Power Ltd, after 6 years of losses, announced net profit of INR 5,527 crore for financial year 2020-21. In 2019-20 fiscal, the company reported a loss of INR 574 crore. JSPL’s annual consolidated gross revenue grew by 224% YoY to INR 42,745 crore with EBIDTA rising to INR 14,444 crore. JSPL’s annual production of steel including pig iron rose 19% YoY to 7.51 million tonnes, while the production of pellets rose by 6.6% YoY to 7.28 million tonnes. Better export markets during the year resulted in JSPL exports rising by 226% YoY to 2.53 million tonnes in FY21, accounting for 35% of the overall sales versus 13% in FY20
Focusing on strengthening the balance sheet, the company has pared down its consolidated net debt by INR 13,773 crore for the entire 2020-21 fiscal. As of March 2021, JSPL’s consolidated net debt stood at INR 22,146 crore.
The core focus right now is to sweat out assets and make JSPL net debt-free. Thereafter, the company will be embarking on a journey to expand its profitability and volumes via the Angul expansion from 6 million tonne per annum to 12 million tonne per annum taking JSPL’s overall steel capacity to around 16 million tonne per annum in India