JSW Steel Q4 FY25 Results: 16% YoY PAT Growth – Revenue Steady, Margins Improve
🧾 Introduction
JSW Steel announced its financial results for the fourth quarter of FY25, delivering a 16% year-on-year (YoY) rise in net profit, even as revenue declined marginally. The company exhibited strong operational efficiency, better cost management, and robust domestic demand, which led to margin expansion and improved profitability. This performance highlights the company’s resilience in a challenging macro environment.
📊 Financial Highlights
- Revenue: ₹44,819 Cr, down 3% YoY from ₹46,269 Cr
- Net Profit: ₹1,501 Cr, up 16% YoY from ₹1,299 Cr
- EBITDA: ₹6,378 Cr, up 14% QoQ
- EBITDA Margin: 14.2%
- Steel Sales Volume: 7.49 MT, +11% YoY and +12% QoQ
- Domestic Sales: 6.72 MT, +30% YoY
- Capacity Utilization: 93%, vs. 91% last quarter
💰 Dividend Announcement
There has been no official dividend announcement by JSW Steel for Q4 FY25 as of the latest update.
📈 Key Financial Metrics
(₹ in Cr)
| Metric | Q4 FY25 | Q4 FY24 | QoQ % Change | YoY % Change |
|---|---|---|---|---|
| Revenue | 44,819 | 46,269 | 8.30% | -3.10% |
| Expenses | 38,684 | 40,243 | 8.10% | -3.90% |
| Operating Profit | 6,135 | 6,026 | 10.00% | 1.80% |
| Profit Before Tax | 1,730 | 2,012 | 46.80% | -14.00% |
| Net Profit | 1,501 | 1,299 | 108.80% | 15.60% |
📊 Key Financial Ratios
| Ratio | Q4 FY25 | Q3 FY25 | Q4 FY24 | QoQ Trend | YoY Trend |
|---|---|---|---|---|---|
| OPM % | 14% | 13% | 13% | 🔼 Up | 🔼 Up |
| Net Profit Margin % | 3.30% | 1.70% | 2.80% | 🔼 Up | 🔼 Up |
| EPS (₹) | 6.15 | 2.93 | 5.31 | 🔼 Up | 🔼 Up |
🏢 Peer Comparison
| S.No. | Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | CMP / BV | ROE % | ROCE % | 52w High Rs. | 52w Low Rs. |
|---|---|---|---|---|---|---|---|---|---|
| 1 | JSW Steel | 977.25 | 238982.01 | 62.75 | 3.03 | 4.85 | 8.03 | 1074.9 | 823.8 |
| 2 | Tata Steel | 159.65 | 199299.47 | 56.98 | 2.2 | 3.82 | 9.08 | 184.6 | 122.6 |
| 3 | Jindal Steel | 946.35 | 96536.05 | 26.99 | 2.05 | 7.83 | 10.84 | 1097.1 | 723.35 |
| 4 | S A I L | 132.15 | 54584.93 | 20.96 | 0.94 | 4.48 | 6.72 | 166.15 | 99.15 |
| 5 | Jindal Stain. | 661.2 | 54467.66 | 21.75 | 3.24 | 16.14 | 18.18 | 848 | 496.6 |
🛠️ Strategic Developments
Production Growth: Crude steel output rose 12% YoY to 7.63 MT
Sales Growth: Domestic volumes surged 30% YoY
- Institutional sales grew by 33%
- Retail sales increased by 25%
Subsidiary Performance:
- BPSL: Revenue ₹5,635 Cr, EBITDA ₹570 Cr; facing legal setback in Supreme Court
- Coated Products: Revenue ₹9,035 Cr
Capex Update: Continued investment to expand domestic steel capacity; utilization at 93%
✅ Positives & ❌ Negatives
✅ Positives This Quarter:
- Robust 16% YoY net profit growth
- Enhanced operational efficiency and cost control
- Strong growth in domestic demand and volumes
- Healthy capacity utilization
- Improved margins with EBITDA at 14.2%
❌ Negatives / Challenges:
- 3% YoY decline in revenue
- Legal uncertainty in BPSL acquisition case
- Flat export contribution at 8% of total sales
- Net profit still below historical peak due to subdued global demand
📉 Market Reaction & Street View
- Stock Reaction: Closed 0.36% higher at ₹1,009 post-results
- Investor Sentiment: Cautiously optimistic due to profit growth and operational efficiency
- Brokerage Views:
- Motilal Oswal: “Maintain BUY”, Target ₹1,200 (Source: Moneycontrol)
- ICICI Securities: “ADD”, Target ₹1,140 citing improved margins
- Nomura: “Neutral”, concerned about global steel price trends
🔮 Final Outlook
Despite global headwinds, JSW Steel has delivered strong financial performance in Q4 FY25, driven by solid domestic sales, margin gains, and operational efficiency. The legal situation concerning BPSL remains a watchpoint, but the company’s core business remains strong. With improving debt metrics and capacity utilization, the overall outlook is constructive, provided global pricing remains stable.
🔗 External Links
For detailed financials and official updates, visit: https://www.jsw.in/investors/jsw-steel
⚠️ Disclaimer
This summary is based on publicly available information from official filings, press releases, and financial news sources. It is provided for informational purposes only and does not constitute financial advice, investment recommendation, or an offer to buy or sell any securities. Readers are advised to conduct their own research or consult with a qualified financial advisor before making any investment decisions. Read the Disclaimer page for more details.