NEW DELHI: Despite the impact of the Covid-19 second wave on domestic demand, better overseas sales helped Jindal Steel and Power Ltd (JSPL) report a ten-fold jump in its net profit in the first quarter of this financial year (Q1FY22) compared to Q1 of the previous year.
The consolidated net profit for the period stood at Rs 2,516 crore against Rs 236 crore the previous year. However, compared to the preceding quarter ended March 2021, when it recorded a net profit of Rs 3,426 crore, this metric recorded a 26% decline.
“While domestic demand was subdued during the quarter, buoyant export markets continued to provide support with exports accounting for 34% in 1QFY22. Share of exports would have been higher in the absence of logistical challenges posed by unfavourable weather leading to congestion at ports,” JSPL said.
The quarter witnessed a sharp rise in input costs, impact of which was compounded by exhaustion of low-cost iron ore inventory, it added.