On a consolidated basis, Jindal Steel & Power (JSPL) s net profit surged 600% to Rs 2,139.28 crore on 74.8% jump in net sales to Rs 11,887.88 crore in Q4 March 2021 over Q4 March 2020.
The quarterly result got a boost from improved performance across steel, power and overseas mining operations in Q4FY21. EBITDA soared 205.60% to Rs 5,287 crore in Q4 FY21 as against Rs 1,730 crore in Q4 FY20. Net debt reduced by Rs 3,475 crore in Q4 FY21 and Rs 13,773 crore in FY21.
The company s core focus right now is to sweat out assets and make JSPL net debt free. Thereafter, the company will embark on a journey to expand its profitability and volumes via the Angul expansion from 6 MTPA to 12 MTPA taking JSPL s overall Steel capacity to c.16 MTPA in India.
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Jindal Steel & Power Ltd (JSPL) has released its financial results for the fourth quarter (4Q21) and fiscal year 2020 – 2021 (FY21).
Strong momentum witnessed in 9M21 by JSPL continued in 4Q21 with the company achieving record production, revenues and profitability during the quarter. JSPL has ended FY21 on a strong note with consolidated EBITDA hitting a record of Rs.14 444 crore and the company reporting a net profit (Rs. 5527 crore) after losses reported in the past 6 years.
Solid operational performance, divestment of non-core assets and lower CAPEX have all contributed in JSPL continuing on the path of deleveraging with net debt declining sharply from Rs. 35 919 crore in FY20 to Rs. 22 146 crore in FY21. As a result, JSPL’s balance sheet is now the strongest in the sector. The company in its endeavour to become net debt free has made substantial prepayment of Rs. 2462 crore in early May. Net debt has declined to Rs.10 589 crore on standalone basis and Rs.1
Shares of Jindal Steel and Power (JSPL) jumped 3 per cent to hit a fresh 52-week high of Rs 455.95 on the BSE after the company board approved divesting entire equity interest in subsidiary Jindal Power to Worldone, a promoter group company, for Rs 3,015 crore. The board of directors of JSPL has approved the divestment of its entire equity interest (representing 96.42 per cent of the issued and paid-up capital) in Jindal Power (JPL) by way of sale of shares, to Worldone, a promoter group company and a related party to the company, JSPL said in a regulatory filing. The equity value is an all-cash offer of Rs 3,015 crore, including 3,400 MW coal fired power plants in Chhattisgarh and other non-core assets owned by JPL.
JSPL board okays divestment in Jindal Power to Worldone for ₹3,015 cr
April 27, 2021
Worldone was selected by way of an elaborate bidding process
Jindal Steel & Power Ltd (JSPL) on Tuesday said it will sell its 96.42 per cent stake in electricity-generation subsidiary Jindal Power Ltd for ₹3,015 crores.
The buyer, Worldone Private Ltd is a private company owned by JSPL chairman Naveen Jindal.
The approximate enterprise value for the deal is ₹12,000 crore, according to sources, out of which ₹4,400 crore has been balanced against outstanding debt which the power subsidiary had taken from JSPL. Redeemable preference shares make up another ₹7,000 crore.
“The divestment is in line with JSPL’s strategic objective to continuously reduce its debt, focus on its India Steel business and significantly reduce its carbon footprint by almost half as part of its ESG objectives,” JSPL said in a statement.
Jindal Steel & Power (JSPL) rose 1.49% to Rs 448.90 after the company accepted a binding offer from Worldone, to divest its 96.42% stake in Jindal Power (JPL), a material subsidiary of the company.
The divestment is in line with JSPL s strategic objective to continuously reduce its debt, focus on its India Steel business and significantly reduce its carbon footprint by almost half as part of its ESG objectives. The equity value is an all-cash offer of Rs 3,015 crore for 96.42% stake in JPL, including 3,400 MW (mega-watt) coal fired power plants in Chhattisgarh and other non-core assets owned by JPL.
V.R. Sharma, the managing director of JSPL, said: This divestment is in line with our ESG objectives to be amongst the top 10 lowest Co2 emitting steel companies of the world. It is yet another step towards our vision to reduce debt substantially and create a robust balance sheet for our investors and stakeholders. Looking to the future, JSPL will be a key growth driver in the Indian s