Jindal Stainless Ltd reports earnings for Q4, FY2020

Jindal Stainless Ltd has announced the financial results for the quarter and year ended March 31, 2020.

Q4 FY20 Financials (Standalone)

- Net revenue fell by 11% Y-o-Y at Rs. 2,904 crore
- Sales volume was lower by 2% Y-o-Y largely due to muted economic sentiments given the COVID-19 outbreak

- EBITDA stood at Rs. 241 crore, down by 20% Y-o-Y
- Steadily falling Nickel during Q4 negatively impacted inventory valuation

- Net loss reported at Rs 22 crore for the quarter
- Exceptional loss stood at Rs. 48 crore as against loss of ~Rs. 1 crore Y-o-Y on account of forex movement
- Finance cost fell by 11% Y-o-Y to Rs. 143 crore

FY20 Financials (Standalone)

- Net Revenue remained almost flat Y-o-Y at Rs. 12,320 crore
- The Company recorded the highest ever stainless steel production at 974 kt; Sales volume rose by 7% Y-o-Y to 916 kt

- EBITDA rose by 3% Y-o-Y to Rs. 1,175 crore
- EBITDA/ tonne stood at Rs. 12,827

- PAT grew up by 10% Y-o-Y to Rs. 153 crore
- Finance cost fell by 8% Y-o-Y to Rs. 567 crore

Commenting on the performance, Mr. Abhyuday Jindal, Managing Director, Jindal Stainless Ltd. said: "JSL recorded steady operational performance in FY19-20. As GDP growth slowed down in the last quarter of the fiscal, we witnessed erosion in margins.

Going forward, we are turning our focus on growing markets, such as the two-wheeler and healthcare industries. The domestic stainless steel industry, which has long required relief from imports from ASEAN and FTA countries, has both the capacity and the capability to cater to Indian demand.

We are hopeful for affirmative government action under the Atmanirbhar package. Successful implementation of the Vocal for Local call by the government will go a long way in ensuring job generation and demand revival in the economy."

Shares of JINDAL STAINLESS LTD. was last trading in BSE at Rs.37.4 as compared to the previous close of Rs. 32.95. The total number of shares traded during the day was 186948 in over 850 trades.

The stock hit an intraday high of Rs. 38.45 and intraday low of 33.55. The net turnover during the day was Rs. 6826688.

Source : Equity Bulls

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