Jindal Steel Shares Down 5% Even as Company’s Steel Business Hits New High in FY20
Representative image (Reuters)
Jindal Steel and Power Ltd (JSPL) shares declined as much as 5% in intra-day trade on Friday even as the company hit new milestone for its domestic and overseas steel business.
Jindal Steel and Power informed exchanges that the company has reported its highest domestic and overseas steel and related products production and sales during FY20.
The company attributed the jump to its major steel production units namely Raigarh, Angul and Oman which recorded the highest ever production and sales of steel and related products.
At the domestic level, Jindal Steel and Power said production of steel and related products increased to a record of 6.3 million tonnes during FY20, up 13% compared with a year ago.
Meanwhile, sales jumped to 6 million tonnes during the period, up 12% from the previous year.
Taking the overseas business into account, the group recorded the highest ever production of 8.2 million tonnes in FY20, which is a jump of 12% year-on-year. Overall group sales stood at 8 million tonnes, which is up 10% compared with a year ago.
At 10:59 am, Jindal Steel and Power shares were trading at Rs 68 apiece, down 3.2% from their previous close, after hitting the day’s low of Rs 66.80. Interestingly, the stock had risen as much as 6.5% to hit a high of Rs 74.80 in the early morning session, but was unable to hold gains.