JSW Steel has posted a 43% decline in consolidated net profit for the quarter ended June 30, 2017 at Rs 624 crore compared with Rs 1,096 crore in the same quarter previous fiscal.
Total revenue from operations on a consolidated basis for the company during the quarter grew 23.98% to Rs 15,977 crore against Rs 12,886 in the comparable quarter last year. Operating EBITDA for the quarter was Rs 2,617 crore, with an EBITDA margin of 17.8%.
“The current quarter was marked by industry wide destocking, especially for long products and sales through the trade channel, as customers in general adopted a cautious approach towards carrying inventories in the run up to GST implementation, which impacted our domestic sales volume,” the company said.
Overall, steel sales volume stood at 3.51 million tonnes during the quarter with some accumulation of inventory.
The company remained focused on enriching the product mix and sales of value added and special products grew by 12% (Y-o-Y), primarily due to higher volume of electrical steel, CRCA, galvanised and colour coated products, the company added.
Meanwhile, the company said it would raise up to Rs 5,000 crore.
“The board of directors at its meeting held today (Tuesday) has approved the raising of long-term funds through issuance of secured/unsecured, redeemable, non-convertible debentures not exceeding Rs 5,000 crore by way of private placement and/or by way of public issuance, in one or more tranches,” JSW Steel said in a filing to the BSE.
Published 01 August 2017, 19:43 IST