JSW Steel's Profit More Than Doubles Year-on-Year Despite Sequential Dip
Profit jumped 113% compared to last year, though it fell sharply from the exceptional Q4, with net profit margin improving significantly.
JSW Steel reported a strong year-on-year profit surge of 113% in Q1 FY27, with revenue up 9.8%. However, earnings declined sequentially from a very strong fourth quarter.
JSW Steel delivered a quarter of robust year-on-year growth but a sharp sequential pullback. The steelmaker's profit after tax more than doubled compared to the same period last year, even as revenue growth was more modest, pointing to a significant improvement in profitability. However, the result marks a steep decline from the exceptionally strong performance in the preceding March quarter.
The company's revenue for the quarter ended June 2026 stood at ₹47,364 crore, up 9.8% from the ₹43,147 crore reported in Q1 FY26. Profit surged 112.6% year-on-year to ₹4,696 crore. This divergence drove a substantial expansion in the net profit margin, which rose to 9.9% from just 5.1% a year ago. The picture changes when viewed sequentially: revenue dipped 7.5% from Q4 FY26, while profit fell a steep 75.6% from the ₹19,243 crore earned in the previous quarter, which had an unusually high margin of 37.6%.
A look at the last five quarters shows the volatile nature of earnings in the steel cycle, with Q4 FY26 standing out as a peak.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin (%)
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Period | Quarter ended June 2026 | Quarter ended March 2026 | Quarter ended June 2025 |
| Revenue (₹ Cr) | 47,364YoY +9.8% | 51,180 | 43,147 |
| Profit (₹ Cr) | 4,696YoY +113% | 19,243 | 2,209 |
| Net Profit Margin (%) | 9.9YoY +94% | 37.6 | 5.1 |
Key Points
- The trailing twelve-month (TTM) net profit margin stands at a healthy 14.8%, with TTM profit at ₹27,995 crore.
- The stock has delivered strong returns, up 26.3% over the past year and 65% over three years.
- The company maintains solid financial health, with a return on equity (ROE) of 28.5% and a manageable debt-to-equity ratio of 0.96.
Overall, JSW Steel's first-quarter performance demonstrates resilient profitability compared to last year, though it signals a normalization from the previous quarter's extraordinary highs. The stock trades at a price-to-earnings (P/E) ratio of 12.3, a significant discount to the industry average of 23.8, reflecting the cyclical nature of the business. The coming quarters will indicate whether the current margin level represents a new sustainable baseline.
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· JSWSTEEL
(BSE)
ISIN: INE019A01038
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