Jindal Stainless (Hisar) Limited (JSHL) its quarterly results on September 11, 2020, for the first quarter ended June 30, 2020. The company stated that the performance was severely impacted due to nationwide lockdown, limited operations, and disruption in the supply chain on account of the outbreak of a pandemic, and its cascading effects on economic activities.

The company posted a consolidated net loss of Rs 93.89 crore for Q1FY21, which declined by 189.17 percent YoY, as compared to Q1FY20 when it reported a consolidated net profit of Rs 105.29 crore.

The consolidated net sales reported in Q1FY21 came in at Rs 852.41 crore, which declined by 64.07 percent YoY from Rs 2,372.35 crore in Q1FY20. At EBITDA level, the company stood at Rs 42.79 crore in Q1FY21 that decreased by 83.06 percent YoY. For Q1FY20, it posted an EBITDA of Rs 252.64 crore.

EBITDA margin as of Q1FY21 was at 5.02 percent that declined by 5.63 percent YoY. The net profit margin in Q1FY21 came in at negative 11.01 percent, which declined by 15.45 percent YoY. The net profit margin in Q1FY20 was at 4.44 percent.

Commenting on the results, Managing Director, JSHL, Mr. Abhyuday Jindal, said, “This quarter was unprecedented for not just stainless steel, but the entire economy. We are closely monitoring the situation and calibrating our decisions accordingly. Though we started seeing signs of recovery towards the end of the quarter, our chief focus was to optimize costs on all fronts. The long term potential for stainless steel in India remains intact and we expect a stronger recovery in domestic demand sooner than later.”

Jindal Stainless Q1FY21 results