India: JSW Steel records highest-ever sales in Q4FY'26; EBITDA jumps sharply

• Crude steel production rises 8% y-o-y in FY'26, sales up 12%
  
  
• Value-added, special product sales surge 17% y-o-y in Q4FY'26
  
  

JSW Steel reported consolidated steel sales of 7.97 mnt in Q4FY26, up 4% q-o-q and 6% y-o-y, marking the company's highest-ever quarterly sales performance. Consolidated crude steel production stood at 7.49 mnt during the quarter, marginally up by 0.1% q-o-q from 7.48 mnt in Q3FY'26 while down 2% y-o-y due to the shutdown of BF-3 at Vijayanagar for expansion activities. In FY'26, consolidated steel sales increased 12% y-o-y to 29.63 mnt, while crude steel production rose 8% y-o-y to 30.14 mnt.

Consolidated revenue from operations in Q4FY'26 stood at INR 51,180 crore, up 14% y-o-y and 11% q-o-q, supported by improved realisations and higher sales volumes. Adjusted EBITDA increased sharply to INR 9,713 crore, compared with INR 6,620 crore in Q3FY'26 and INR 6,486 crore in Q4FY'25. Consolidated PAT (Profit After Tax) surged to INR 19,243 crore during the quarter, aided by exceptional gains related to the BPSL-JFE (Bhushan Power & Steel Limited- JFE Steel Corporation)transaction.

The company also highlighted a major balance sheet improvement during the quarter following the formation of the JSW JFE Joint Venture and deconsolidation of the BPSL steel business. Net debt reduced sharply to INR 53,870 crore as of March 2026 from INR 80,347 crore in December 2025, while the company completed the deleveraging of nearly INR 30,000 crore during FY'26. An additional INR 7,875 crore of deleveraging is expected upon receipt of the second tranche of JFE investment by June 2026.

Project updates

BF-3 upgradation at Vijayanagar: Expansion from 3 mnt/year to 4.5 mnt/year under testing and commissioning.

Dolvi Phase-III expansion: Capacity expansion from 10 mnt/year to 15 mnt/year progressing, with completion targeted by September 2027.

JSW Utkal greenfield project: Pellet plants and steelmaking facilities under development with phased commissioning planned through FY'30.

Downstream coated steel expansion: New galvanising and CRMCold Rolling Mill capacities planned at Vijayanagar, Khopoli, and Rajpura to strengthen value-added product portfolio.

Other highlights

Steel sales reach all-time high: Consolidated steel sales stood at 7.97 mnt in Q4FY'26, up 6% y-o-y and 4% q-o-q. FY'26 sales increased 12% y-o-y to 29.63 mnt. Domestic sales accounted for 90% of Indian operations during the quarter.

Value-added product sales improve: Value-added and special product (VASP) sales reached a record 4.82 mnt in Q4FY'26, up 17% y-o-y, with VASP share increasing to 62% of sales. Strong growth was reported in the auto, renewables, and appliances segments.

EBITDA rises sharply q-o-q: Consolidated adjusted EBITDA rose 47% q-o-q to INR 9,713 crore in Q4FY'26, supported by higher NSR(Net Sales Realisation) and improved sales volumes despite elevated coking coal and power costs.

Retail and distribution network expands: Retail sales increased 14% y-o-y in FY'26 to 9.61 mnt, supported by over 24,000 retail stores and 2,334 branded outlets across India.

Capex and expansion focus continues: JSW Steel incurred capex of INR 15,595 crore in FY'26 and guided FY'27 capex at INR 22,000-24,000 crore, primarily towards steelmaking expansion and value-added downstream projects.

FY'27 guidance: JSW Steel expects consolidated crude steel production of 29.75 mnt and steel sales of 28.60 mnt in FY'27.

Growth strategy

The company is expanding its steelmaking capacity from 31.9 mnt/year currently to 48.8 mnt/year by FY'30, which has been approved by its board. Along with 4.5 mnt/year capacity at the JSW-JFE joint venture, the company's combined India capacity will reach 53.3 mnt/year by FY'30. Further, the company plans to grow its India capacity to 62 mnt/year by FY'32, and capacity through joint ventures will grow to 16 mnt/year, taking the combined India capacity to 78 mnt/year.