Buy Jindal Steel & Power - Q4FY13 Result Update - IIFL

- Standalone revenue of Rs42.1bn was quite higher than our estimate of Rs36.5bn, on the back of strong steel volumes

- JSPL managed to register a strong volume growth of 23.3% yoy and 23.9% qoq to 0.91mn tons due to liquidation of inventory

- Realisations declined sharply due to subdued demand and excess supply in the domestic market

- Standalone power production declined on a qoq due to issues at Angul

- Operating profit of Rs10.4bn was lower than our estimate due to jump in raw material costs

- JPL's power production improved after two weak quarters, registering a PLF of 99.5%

- Earnings to take centre stage; Maintain BUY with a revised 9-month price target of Rs407

Source : Equity Bulls

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