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Total income increased 49% to Rs 21,807 million from Rs 14,666 million in the corresponding quarter of previous year.
EBITDA (earnings before interest, tax, depreciation and amortization) margin declined to 14.45% from 18.75% in Q3FY17 and 19.68% in Q2FY18.
“As the Company is not producing steel rather commodities like steel, iron ore and cocking coal are raw materials for its products. Last few months have witnessed increased volatility in commodity prices including cocking coal and iron ore which is expected to impact the finished goods sale prices,” Jindal Saw said in a release.
Export of pipes from India has been impacted negatively to countries like USA, Europe and Mexico due to imposition of anti-dumping duties by these countries on Indian pipes. On the other hand India has seen dumping of seamless pipes by countries like china which has impacted the domestic demand. To provide a level playing field, India has imposed anti-dumping duties on import of seamless pipes from China which has supported the Indian Seamless pipe industry for some time, it added.
In past six months, the stock rallied 80% as compared to 13% rise in the S&P BSE Sensex till Tuesday.