Jindal Saw (JINDALSAW) Q4 25/26 earnings summary

Executive summary

• Q4 FY26 and FY26 saw significant sequential and year-over-year declines in revenue and profitability, mainly due to MENA export disruptions and sectoral challenges, with consolidated PAT at Rs 1,236 million and standalone PAT at Rs 1,140 million.

• Export shipments to the MENA region were suspended since March 2026 due to military conflict, impacting high-margin business and causing logistical disruptions.

• The company maintained a robust order book of ~$1.3 billion for pipes and pellets, with a healthy export component and strategic expansions underway in Abu Dhabi and Saudi Arabia.

• Audited standalone and consolidated financial results for FY26 were approved and published, with unmodified opinions from statutory auditors.

• The company operates primarily in the Iron & Steel products segment on both standalone and consolidated bases.

Financial highlights

• Standalone Q4 FY26 total income: Rs 38,517 million, down 7% sequentially and YoY; EBITDA: Rs 4,130 million, down from Rs 5,270 million in Q3.

• Consolidated Q4 FY26 total income: Rs 46,569 million, down 6% sequentially and YoY; EBITDA: Rs 5,040 million, down 20% from Q3.

• FY26 standalone revenue: Rs 1,47,451 million, down from Rs 1,81,777 million in FY25; EBITDA margin: 12.4% (vs 19.0% FY25); net profit: Rs 470.79 crore (vs Rs 780.26 crore FY25).

• FY26 consolidated revenue: Rs 1,79,869 million, down from Rs 2,09,478 million in FY25; EBITDA margin: 12.8% (vs 16.5% FY25); net profit: Rs 925.33 crore (vs Rs 1,458.04 crore FY25).

• Net debt reduced to Rs 24,532 million standalone and Rs 25,280 million consolidated as of March 31, 2026.

Outlook and guidance

• Q1 FY27 is expected to remain impacted by ongoing MENA disruptions, but a rapid ramp-up is possible if conditions improve.

• Domestic water pipe demand is expected to recover with government initiatives such as Jal Jeevan Mission and state-backed projects.

• Margin expansion in stainless steel pipes is anticipated from H2 FY27 as value-added segments grow.

• CapEx guidance: Rs 5,000–6,000 million for FY27, Rs 4,000–5,000 million for FY28; Board recommended a Rs 2 per equity share dividend for FY26.

• Management expects incremental efficiency gains from ongoing capex and debottlenecking, with order execution projected over the next 9–18 months.