Analysts had expected the steelmaker to report a consolidated net profit of Rs 4,958 crore on revenues of Rs 28,639 crore.
The strong year-on-year growth in the quarter was aided by a low base of the year-ago quarter, which was severely impacted by the national lockdown to contain the spread of the Covid-19 virus in the country.
On a sequential basis, too, the company reported handsome earnings growth, indicating that the impact of the second wave on operations was minimal during the quarter. JSW Steel’s consolidated total revenue from operations grew 7.3 per cent on-quarter, while its consolidated net profit climbed 41 per cent.
The steelmaker also reported its highest-ever quarterly operating profit in the June quarter of Rs 10,274 crore, reflecting the benefits of price hikes undertaken during the quarter by steel companies.
JSW Steel said that project execution at all of its locations are ramping up as the economy opens up following localized restrictions during the quarter and reverse migration of labourers. During the quarter, JSW Steel spent Rs 2,688 crore on capital expenditure, which was nearly 15 per cent of its planned capex for the current financial year.
Shares of the company ended 0.1 per cent higher at Rs 717.40 on the National Stock Exchange.