Jindal Steel & Power Research Tear Sheet Q3 FY 2022

Jindal Steel and Power Limited is an Indian steel and energy company. The company has its headquarter in New Delhi, India. The company has its operation worldwide. The Founder of JSP is  O P Jindal. It mainly deals with the following products Steel, Iron, Electricity generation and distribution. JSPL has six major subsidiaries. Jindal Tamnar Thermal Power Plant, Jindal Steel Bolivia, Jindal Steel and Power Mauritius, Jindal Africa Investments and Skyhigh Overseas. The shares are traded both on BSE and NSE.

Key Financial Highlights

RS in Crores	Q3 FY 22	Q3 FY 21
Gross Revenue	14,152	10,449
Net Revenue	12,525	9,281
EBITDA	3,310	3,923
PBT	2,236	3,035
PAT	1,622	2,440

JSP reports Standalone PAT of INR 1,714 Cr; Consolidated PAT of INR 1,622 Cr

Reported Gross Revenue is INR 13,581 Crores.

Net Revenue INR 11,955 Crores.

Profit after tax: INR 1,714 Crores

EBITDA: INR 3,310 Crores

Debt-There is a decline in debt to INR 10,981 Crores . Net Debt to EBITDA stood 0.63x. The company has targeted for overall Net Debt free company by FY23.

Geographical Revenue

Mozambique operations reported 3QFY22 EBITDA of c.US$ 22mn. The total production in Chirodzi mine is 1.1 MT ROM in 3QFY22. EBITDA from South Africa is f c.US$ 3mn. Total production from Kiepersol mine is 157 KT ROM. In Australia WCL reported an EBITDA of c.US$ 9mn c. Reported sales of  WCL is 95 KT during the quarter.

Overall Performance

The overall position of Kaisa is 278 million tonnes of iron ore. It targets to ramp up production to 5 million tonnes in FY23. The targeted capacity is 16MTPA by FY 2025. In the steel sector the sale is about 1.82 million tonnes which has declined.  Gross revenue is INR 13,581 Crores, increased 37% Y-O-Y. EBITDA declined by 19% to INR 3,168 Crores. Profit after tax (PAT) declined 23% Y-o-Y driven by tax expenses.

Management Highlights

Produced 5.9 million tonne steel, but dispatched only 5.6 million tonnes steel. 

The company targets to reduce the entire debt by FY 2023.

Kasia mine has started operations.