JSW Steel Q1 net profit falls 64 pc to Rs 867 cr spends Rs 4 466 cr as capex

     New Delhi, Jul 19 (PTI) JSW Steel on Friday posted a 64 per cent fall in consolidated net profit at Rs 867 crore for the quarter ended June 30, 2024 on lower income and higher expenses.
     It had reported Rs 2,428 crore net profit in the year-ago period, the company said in an exchange filing.
     The company's total income rose to Rs 43,107 crore in the reported quarter, from Rs 42,544 crore in the April-June period of preceding 2023-24 fiscal.
     Its expenses rose to Rs 41,715 crore in April-June quarter, from Rs 39,030 crore a year ago.
     "The company's consolidated capex spend during Q1 FY25 was Rs 4,466 crore. We expect consolidated capex for FY25 to be Rs 20,000 crore," JSW Steel said.
     The company's standalone net profit also fell to Rs 1,205 crore, from Rs 1,705 crore in April-June FY24.
     Income dipped to Rs 33,050 crore in the first quarter of this fiscal, from Rs 33,229 crore a year ago.
     Expenses surged to Rs 31,429 crore in the quarter under review, as against Rs 30,652 crore in the year-ago quarter.
     In a separate filing, JSW Steel said its board has approved a proposal to transfer a slurry pipeline project in Odisha being undertaken by an arm of the company to JSW Infrastructure Ltd, a JSW Group entity.
     The contractual agreements for transfer of 30 million tonne per annum (MTPA) capacity slurry pipeline would be signed in due course, and remain subject to shareholders’ approval and other regulatory approvals, if any required.
     JSW Steel is expected to get Rs 1,700 crore upon completion of transfer of the project.
     The board also approved a long-term take or pay agreement with JSW Infrastructure Ltd for the transportation of iron ore slurry from Nuagaon mines to Jagatsinghpur by slurry pipeline mode, for a period of 20 years.
     JSW Steel's consolidated steel production during Q1 was at 6.35 MT, down from 6.43 MT a year ago. Its sales also increased to 6.12 MT from 5.71 MT in April-June FY24.

(This story has not been edited by THE WEEK and is auto-generated from PTI)