JSW Steel earnings rose sharply in the July–September 2026 quarter, with consolidated net profit increasing 225% year on year to Rs 5,279 crore. The company reported record steel sales and nearly 21% revenue growth on October 23, although its shares traded about 3% lower following the results.
Key Takeaways
- Consolidated profit rose much faster than revenue in Q2 FY27.
- Record steel sales reflected stronger domestic volumes and automotive demand.
- Higher coking coal costs and lower realisations partly offset the benefit of increased volumes.
Table of Contents
- JSW Steel earnings outpace revenue growth
- Domestic and automotive sales reach new highs
- Shares fall despite stronger reported results
- Conclusion
JSW Steel earnings outpace revenue growth
Net profit increased from Rs 1,623 crore in the corresponding quarter a year earlier. Revenue from operations reached Rs 54,486 crore, compared with Rs 45,152 crore in Q2 FY26.
The company reported EBITDA of Rs 9,941 crore, up 39% year on year, excluding foreign-exchange gains and losses on long-term borrowings net of inter-company receivables. Its adjusted EBITDA margin stood at 18.3%.
JSW Steel attributed operating performance to higher volumes, partly offset by higher coking coal prices and lower realisations. The quarter therefore combined greater sales activity with continuing pressure on input costs and selling prices.
| Item | Details |
|---|---|
| Total expenses | Rs 48,168 crore, up more than 12% from Rs 43,004 crore a year earlier. |
| Crude steel production | Record output of 7.27 million tonnes in Q2 FY27. |
| Institutional sales | 4.15 million tonnes, up 15% year on year. |
| Exports | 980,000 tonnes, representing 13% of sales from India operations. |
Domestic and automotive sales reach new highs
Saleable steel sales reached a record 7.46 million tonnes, increasing 13% from a year earlier and 19% from the preceding quarter. Domestic sales also set a record at 6.29 million tonnes, up 12% year on year and 18% quarter on quarter.
Sales to the automotive sector reached their highest-ever level, rising 36% year on year. Flat-product sales increased 16%, while sales of value-added and special steel products, or VASP, grew 11%; both categories recorded their highest-ever sales.
The company’s FY2025–26 annual discussion describes value-added and special steel products as serving construction, infrastructure, automotive, electrical and appliance applications. That background explains the product category rather than verifying the latest quarterly figures.
Shares fall despite stronger reported results
JSW Steel shares traded at about Rs 1,182 on the National Stock Exchange, down around 3%, following the earnings release. That was a trading snapshot, not a stated closing price.
The available information does not establish a specific reason for the decline. The reported profit increase and the share-price movement are separate outcomes; stronger earnings alone do not explain how investors assessed the results.
Conclusion
Record sales supported a substantial increase in JSW Steel earnings, but coking coal costs and lower realisations remained offsets. Subsequent quarterly results will show whether volume strength continues to outweigh those pressures.
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