JSW Steel's net profit for the second quarter of fiscal year 2027 surged three times compared to last year, reaching ₹5,279 crore. This strong performance was driven by a 21% increase in revenue and a 42% jump in operating profit, also known as EBITDA. The company’s board also approved a major expansion project for its Sambalpur steel plant and the establishment of a wholly-owned subsidiary in the UAE.
- Net profit rose three-fold to ₹5,279 crore year-on-year (YoY).
- Revenue from operations increased 21% to ₹54,486 crore.
- EBITDA grew 42% to ₹10,120 crore, with margins expanding to 18.57%.
- Board approved 5 MTPA expansion at Sambalpur plant with ₹7,500 crore equity investment.
- Incorporation of a wholly-owned subsidiary in the UAE was approved.
- Record consolidated production and sales achieved in Q2 FY27.
- Capital expenditure for FY27 expected between ₹22,000-24,000 crore.
What were the key financial highlights for JSW Steel in Q2 FY27?
JSW Steel’s revenue from operations for the quarter ending September 2026 rose to ₹54,486 crore, up 21% from ₹45,152 crore in the same quarter last year. The operating profit (EBITDA) increased by 42% to ₹10,120 crore, compared to ₹7,115 crore in Q2 FY26. This growth expanded the EBITDA margin from 15.76% to 18.57%, helped by higher production volumes despite some pressure from rising coking coal prices and lower product prices.
How did JSW Steel’s production and sales perform?
The company achieved its highest-ever consolidated production of 7.27 million tonnes in the quarter, a 5% increase year-on-year and 10% quarter-on-quarter. This was supported by the Vijayanagar BF-3 blast furnace ramping up to about 90% utilization after starting operations in late June. Steel sales also reached a record 7.46 million tonnes, up 13% YoY and 19% QoQ.
What expansion plans did JSW Steel’s board approve?
JSW Steel’s joint venture with JFE Steel Limited, called JSW JFE Steel Limited (JJSL), operates a 4.5 MTPA integrated steel plant at Sambalpur, Odisha. The plant is near full capacity. To meet growing domestic demand and support long-term growth, the board approved a 5 MTPA capacity expansion and upgrades at the Sambalpur plant. The project requires an equity investment of ₹7,500 crore, shared equally between JSW Steel and JFE. The expansion is expected to start in April 2027, pending regulatory approvals, and take about 3.5 years to complete.
What is the purpose of the new subsidiary in the UAE?
The board also approved the formation of a wholly-owned subsidiary in the United Arab Emirates. JSW Steel will invest AED 100,000 in the new entity. This move aims to strengthen the company’s international presence and explore new business opportunities in the region.
How much is JSW Steel investing in capital expenditure?
JSW Steel reported its highest-ever quarterly capital expenditure of ₹6,266 crore in Q2 FY27. For the first half of FY27, capex totaled ₹11,136 crore. The company expects its total capital expenditure for the full fiscal year to be between ₹22,000 crore and ₹24,000 crore, reflecting its focus on expanding capacity and upgrading facilities.
How did the market react to JSW Steel’s earnings?
Following the earnings announcement, JSW Steel’s share price fell by 2.66%, trading at ₹1,187.60 on the National Stock Exchange. Despite the price dip, the company’s market capitalization stood at ₹2.90 lakh crore as of October 23, 2026.
