Jindal Stainless, India’s largest stainless steel maker by volumes, reported a substantial surge in its first-quarter profit on the back of strong domestic demand. The company’s consolidated net profit for the quarter ended June 30 soared to Rs 7.46 billion ($91 million), marking a remarkable 50% increase from Rs 4.98 billion in the same period last year.
– Revenue from operations witnessed a significant rise of 25.4% to reach Rs 101.84 billion for the quarter.
– Domestic sales experienced a remarkable growth of 54% year-on-year, attributed to the pre-festive season demand, particularly in consumer segments.
Rival companies in the sector also witnessed varying performances, with JSW Steel reporting a nearly three-fold jump in first-quarter profit due to higher demand from infrastructure projects. In contrast, Tata Steel saw a significant 92% slump in quarterly profits.
Jindal Stainless, a constituent of India’s Nifty metals index, closed 1.12% higher ahead of the results announcement, while the index closed 0.32% higher.
The strong performance of Jindal Stainless in the face of robust domestic demand reflects its position as a key player in the stainless steel industry, catering to vital sectors such as transportation and construction.