JSPL climbs after strong production, sales in December

Jindal Steel & Power (JSPL) rose 2.26% to Rs 276.40 after the company recorded highest ever production and sales in December 2020.

JSPL Steel operations reported their highest ever monthly production volumes with 7.27 lakh tonnes during December 2020, recording a 30.05% year-on-year (Y-o-Y) rise from 5.59 lakh tonnes in December 2019. On a month-on-month (M-o-M) basis, production soared 18.40% in December 2020 from 6.14 lakh tonnes in November 2020.

On a Y-o-Y basis, sales surged 25.39% to 7.11 lakh tonnes in December 2020 compared with 5.67 lakh tonnes in December 2019. On M-o-M basis, sales jumped 25.84% in December 2020 from 5.65 lakh tonnes in November 2020.

JSPL's integrated steel plant in Angul reported the highest ever monthly production to 4.16 lakh tonnes while JSPL's Raigarh steel plant also reported the highest monthly production to 3.11 lakh tonnes. JSPL also reported the highest ever monthly sales of 7.11 lakh tonnes in December 2020.

The company posted a record standalone steel production of 19.26 lakh tonnes in Q3 FY21 compared to 16.10 lakh tonnes in Q3 FY20. JSPL's standalone steel sales also increased by 12% year-on-year (Y-o-Y) to 18.76 lakh tonnes in Q3 FY21 compared to 16.71 lakh tonnes in Q3 FY20. JSPL's Steel exports increased by 18% (Y-o-Y) to 3.87 lakh tonnes in Q3 FY21 contributing 21% to the total sales volumes.

V R Sharma, the managing director of JSPL, stated: "We are proud of our dedicated workforce who achieved such an extraordinary increase in the production with existing capacity by way of optimizing various operating parameters without any Capex. We will achieve even greater heights in times to come." The announcement was made before trading hours today, 4 January 2021.

On a consolidated basis, JSPL's net loss stood at Rs 706.49 crore in Q2 September 2020 steeply higher from Rs 399.31 crore reported in Q2 September 2019. Net sales rose by 16.7% year-on-year (Y-o-Y) to Rs 9,002.64 crore in Q2 September 2020.

JSPL is an industrial powerhouse with a dominant presence in steel, power, mining and infrastructure sectors.

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