Jindal Steel Q2 Profit Falls 26% Amid Record Value-Added Steel Sales

Jindal Steel & Power Ltd reported a 26.2% decline in consolidated net profit for Q2 FY26, settling at Rs 635 crore, compared to the same period last year. Despite the dip in profit, the company’s revenue rose by 4.2%, reaching Rs 11,686 crore, supported by strong sales of value-added steel.

Value-added steel, a higher-margin product, accounted for a record 73% of total sales, reflecting Jindal Steel’s continued focus on producing specialized steel products for industries like automotive, construction, and infrastructure. Export sales also strengthened, rising to 10% of overall revenue, highlighting the company’s growing presence in international markets amid global steel demand.

The company attributed the profit decline to rising input costs and market volatility, which affected overall margins. However, management remains optimistic about future growth, citing strategic expansion in value-added products and investments in technology-driven manufacturing processes.

In a key leadership development, Gautam Malhotra was appointed CEO, effective October 28. Malhotra brings extensive experience in operations and strategic planning and is expected to lead Jindal Steel through a phase of modernization and enhanced profitability. His appointment signals the company’s intent to strengthen operational efficiency and expand its global footprint.

Industry analysts note that while domestic steel prices have been under pressure due to rising imports and fluctuating demand, Jindal Steel’s emphasis on value-added products positions it well to navigate market challenges. The company continues to focus on sustainability, energy efficiency, and innovation to enhance product quality and meet evolving industry standards.

Overall, Q2 FY26 reflects a mixed performance for Jindal Steel & Power. Profit margins were affected, yet revenue growth, record value-added steel sales, and strategic leadership changes provide a positive outlook for the coming quarters. With Malhotra at the helm, Jindal Steel aims to reinforce its position as a leading player in India’s steel sector while expanding its global reach.