- 04 May 2022
- ICICIdirect Research
Jindal Stainless reports healthy operational performance for Q4FY22JSL - 283 Change: -8.25 (-2.83 %)
News: For the quarter, Jindal Stainless (JSL) standalone operations reported sales volume of 269168 tonnes, up 6% YoY and 9% QoQ. Standalone operations EBITDA/tonne came in at Rs28278/tonne, as compared to Rs20438/tonne in Q4FY21 and Rs29855/tonne in Q3FY22, broadly in line with our estimate of Rs28000/tonne. Jindal Stainless consolidated topline for the quarter stood at Rs6564 crore (up 68% YoY and 16% QoQ), higher than our estimate of Rs 6056 crore. For Q4FY22, JSL reported consolidated EBITDA of Rs842 crore, up 55% YoY and 6% QoQ, higher than our estimate of Rs804 crore. During the quarter, on a consolidated basis, JSL reported net tax credit of ~Rs31 crore as compared to our estimate of tax expense of ~Rs218 crore. Hence, the ensuing consolidated PAT for Q4FY22 stood at Rs750 crore, up 156% YoY and 70% QoQ, higher than our estimate of Rs453 crore.
Views: Jindal Stainless’ (JSL) Q4FY22 performance came in better than our estimate on all fronts. Furthermore, reported PAT came in notably higher than our estimate on account of tax credit during the quarter under review. In terms of operational performance, on the export market front, JSL was effectively able to double its export sales proportion to 32% of total sales volumes in Q4FY22 compared to 16% in Q4FY21, with keen focus on the value added product segments. On the domestic front key sectors like elevators and escalators, railway wagons, railway coaches and metros continued to register steady demand, which also augured well for the company.