JSW Steel Q2 Results: Cons PAT soars sharply by 307% YoY to Rs 1,646 crore, revenue jumps 12%

JSW Steel on Friday reported its results for the second quarter ended September 2025, posting an impressive 307% YoY surge in its consolidated profit after tax (PAT) at Rs 1,646 crore, up from Rs 404 crore, while its revenue from operations recorded a 12% YoY growth.

The revenue from operations stood at Rs 42,149 crore in Q2FY26, up from Rs 37,496 crore posted in the year-ago period.

However, the company noted that its Q2 PAT was 25% lower on a QoQ basis.

Adjusted EBITDA rose 39% year-on-year, mainly supported by higher volumes and lower costs of iron ore, coking coal, and power, though partially offset by a decline in realisations. Reported EBITDA for the quarter stood at Rs 7,115 crore.

According to the company’s press release, domestic sales reached 6.33 million tonnes in Q2 FY26, marking a 14% year-on-year and 6% quarter-on-quarter growth. Exports surged by 89% YoY and 56% QoQ, accounting for 10% of total sales from Indian operations during the quarter. Meanwhile, retail sales volumes rose 26% YoY and 13% QoQ.

Consolidated crude steel production in Q2 FY26 reached a record high of 7.90 million tonnes, registering a 17% year-on-year increase. The growth was driven by optimal operations at the Dolvi plant following a planned maintenance shutdown in Q1 FY26, along with the ramp-up of JVML and BPSL expansions.

Meanwhile, the consolidated sales stood at 7.34 million tonnes, up 20% YoY, supported by higher production volumes.

The company’s net debt to equity stood at 0.93x as of September 30, 2025, compared to 0.95x at the end of Q1 FY26. Net Debt to EBITDA improved to 2.97x from 3.20x in the previous quarter. Net Debt as of September 30, 2025, was Rs 79,153 crore, reflecting a reduction of Rs 697 crore compared to June 30, 2025.

Commenting on the Bhushan Power & Steel Ltd (BPSL) case, the company clarified, “The Hon'ble Supreme Court, in its judgement dated 26th September 2025, dismissed the appeals filed by the erstwhile promoters and certain operational creditors, and upheld the National Company Law Appellate Tribunal order of 2020 approving JSW Steel's resolution plan for BPSL. The Hon'ble Supreme Court also noted the substantial efforts of JSW Steel in resolving and turning around BPSL as a profit-making company.”

As part of its energy transition strategy, JSW Steel stated that it has successfully commissioned India’s first 25 MW Green Hydrogen Electrolyser, capable of producing 3,800 tonnes of green hydrogen annually. This hydrogen will be integrated into operations at the Vijayanagar DRI plant, contributing to a reduction in greenhouse gas emissions.

Additionally, the company has received board approval for the development of 2.5 GW of renewable energy and 320 MWh of battery storage capacity. As of Q2 FY26, 885 MW of renewable power capacity has already been commissioned.

“Global growth in 2025 has remained resilient, supported by front-loaded trade flows and consumption ahead of tariff changes. However, the outlook for 2026 is more cautious, with continued geopolitical uncertainty and elevated tariffs likely to weigh on momentum, despite some easing following recent trade agreements,” JSW Steel stated in its press release while commenting on the outlook.

Geographically, India’s economic outlook remains positive for H2 FY26. Recent GST reforms are expected to spur consumption in segments like autos and durables. Rural demand is improving due to strong monsoons and higher kharif sowing.

However, the firm highlighted that higher U.S. tariffs remain a headwind for Indian exports, especially in IT and outsourcing. Still, public capex remains robust, with the Centre spending 38% of its annual budget by August 2025.

Infrastructure demand is strong, renewable additions are rising, and commercial real estate is steady. New residential launches are expected to rise in H2, the company said.