Jindal Stainless (Hisar) net profit falls 14 pc to Rs 308 crore in April-June

JSHLs lifestyle subsidiary, JSL Lifestyle Limiteds net revenue, EBITDA and PAT were at Rs 125 crore, Rs 6 crore and Rs 2 crore, respectively. JSHL and Jindal Stainless Limited are in the process of a merger.

Jindal Stainless (Hisar) Limited on Wednesday posted a 14 per cent fall in its consolidated net profit at Rs 308.20 crore during June 2022 quarter, mainly on account of higher expenses.

The company had clocked a net profit of Rs 358.88 crore during the April-June quarter of the previous financial year, Jindal Stainless (Hisar) Limited (JSHL) said in a regulatory filing.

Its total income during April-June quarter of the current fiscal rose to Rs 3,481.97 crore from Rs 2,804.58 crore recorded in the year-ago period.

Expenses were at Rs 3,204.82 crore as compared to Rs 2,461.44 crore a year ago.

In a separate statement, the company's managing director Abhyuday Jindal said, ''Q1 posed various unforeseen macro-economic challenges that impacted the overall sales volumes for the Indian stainless steel industry. The imposition of a 15 per cent export duty by the government further aggravated the domestic market which is marred by unwarranted imports. Despite the challenges, JSHL catered to the demand from key sectors in the country.'' He further informed that JSHL is developing new stainless steel specialty grades and finishes for critical applications. It will also implement various green energy projects, including the installation of a green hydrogen plant at its manufacturing facility in Hisar, Haryana.

According to the company, ''Jindal Stainless Steelway Limited (JSSL), an arm of JSHL, recorded a net revenue of Rs 534 crore and EBITDA of Rs 20 crore during Q1 FY23. JSHL's lifestyle subsidiary, JSL Lifestyle Limited's net revenue, EBITDA and PAT were at Rs 125 crore, Rs 6 crore and Rs 2 crore, respectively.'' JSHL and Jindal Stainless Limited are in the process of a merger. The companies had earlier got the approval of their shareholders and creditors for the proposal.

The next date of hearing is scheduled on October 18, 2022 by the National Company Law Tribunal (NCLT). The company expects the process to be completed in the next 4-5 months.