Jindal Steel & Power Reports Strong FY26 Results

Jindal Steel & Power Ltd (JSPL) has announced its audited financial results for the fiscal year ending March 31, 2026.

Financial Results

JSPL reported consolidated gross revenue of ₹62,412 crore for FY26. The consolidated Profit After Tax (PAT) stood at ₹3,361 crore. On a standalone basis, the company recorded a PAT of ₹3,074 crore from total revenues of ₹54,320.20 crore. The Board of Directors also approved the recommendation of a final dividend of 200%, equivalent to ₹2 per equity share, subject to shareholder and regulatory approvals.

Growth Drivers

The company's financial performance was strengthened by successful capacity expansions. This includes the commissioning of a 4.6 MTPA Blast furnace and BOF units, which have increased crude steel capacity to 15.6 MTPA. Additionally, JSPL secured a key raw material source by becoming the preferred bidder for the Thakurani iron ore block.

These operational enhancements are expected to support sustained growth and improve efficiency in the competitive steel market. The dividend payout, if approved, will provide direct returns to shareholders.

About Jindal Steel & Power

Jindal Steel & Power Limited (JSPL) is a major Indian conglomerate with integrated operations spanning steel, power, mining, and infrastructure. It is part of the O.P. Jindal Group.

The company has been actively investing in expanding its production capabilities and securing its raw material supply chain as part of its growth strategy.

Key Developments

In March 2026, JSPL became the preferred bidder for the Thakurani A1 iron ore block in Odisha, bolstering its raw material security for the Angul plant. This move, along with investments in major expansion projects, aims to reach a crude steel capacity of 15.6 MTPA. For comparison, JSPL reported a gross revenue of ₹58,044 crore in FY25.

These developments mean:

• Shareholders can expect a significant dividend payout of 200% (₹2 per share), pending approvals.
• The increased steelmaking capacity of 15.6 MTPA offers a stronger foundation for future sales volumes and market share.
• Securing the Thakurani iron ore block is expected to reduce reliance on external suppliers and potentially stabilize input costs.
• Operational upgrades, such as the new CRM complex and conveyor belt, are anticipated to boost efficiency.

Financial Risks

A financial vulnerability remains with the company's subsidiary, JSML, which faces uncertainty about its ability to continue operating due to accumulated losses and a negative net worth. While the parent company provides support, this situation requires ongoing monitoring.

Peer Performance

JSPL's FY26 consolidated revenue of ₹62,412 crore and PAT of ₹3,361 crore compare with major competitors like JSW Steel (FY25 revenue ₹1,68,824 Cr, PAT ₹3,491 Cr) and Tata Steel (FY25 revenue ₹2,18,542.5 Cr, PAT ₹3,173.78 Cr).

Key Metrics

As of March 31, 2026:

• Consolidated Net Debt was ₹16,019 crore.
• The Consolidated Net Debt to EBITDA ratio was 1.66x.

Future Focus

Investors will be tracking:

• Shareholder approval for the recommended 200% final dividend.
• The performance and ramp-up of the newly commissioned capacities, including the blast furnace and BOF units.
• The progress in improving the financial health of the subsidiary JSML and addressing its operational continuity concerns.
• Plans for iron ore extraction from the Thakurani block and its impact on raw material costs.