Jindal SAW Limited submitted its Business Responsibility and Sustainability Report (BRSR) for the financial year 2025-26 to BSE Limited and the National Stock Exchange of India Limited on May 07, 2026. The report was filed in compliance with Regulation 34(2)(f) of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015, and forms part of the company's Annual Report for FY 2025-26. The BRSR has been prepared on a standalone basis and includes a core assurance report conducted by Moore Singhi Advisors LLP, which provided reasonable assurance on the disclosures.

Company Overview and Financial Profile

Jindal SAW Limited, incorporated in 1984 and headquartered at Jindal Centre, 12, Bhikaji Cama Place, New Delhi-110066, is primarily engaged in the manufacturing and sale of iron and steel products, including pipes and allied accessories, as well as pellets. The company's registered office is located at A-1, Nandgaon Road, UPSIDC Industrial Area, Kosi Kalan, Mathura, Uttar Pradesh-281403.

The following table summarises key financial and corporate details as disclosed in the BRSR:

Iron and steel products (pipes and allied accessories) accounted for 90% of the company's turnover, while pellets contributed the remaining 10%. The company operates 12 plants and 13 offices nationally, along with one international office. It serves customers across 25 states in India and 30 countries internationally, with exports contributing 25.07% of total turnover.

Workforce and Employee Wellbeing

As of March 31, 2026, Jindal SAW's total workforce comprised 5,272 employees and 15,692 workers. The company's workforce composition is detailed below:

The company reported 21 differently abled employees and 40 differently abled workers. Women's representation on the Board of Directors stood at 4 out of 12 members (33.33%), while 3 out of 6 Key Management Personnel (50%) were female. Wellbeing expenditure as a percentage of total revenue was 0.091% in FY 2025-26, compared to 0.083% in FY 2024-25.

The permanent employee turnover rate (total) was 9.9% in FY 2025-26, compared to 14.3% in FY 2024-25 and 10.7% in FY 2023-24. All permanent employees and workers were covered under PF and Gratuity, with deductions deposited with the relevant authorities.

Safety Performance

Jindal SAW reported improvements in key safety metrics during FY 2025-26. The Lost Time Injury Frequency Rate (LTIFR) for employees declined to 0.159 per one million person-hours worked from 0.628 in FY 2024-25. For workers, the LTIFR improved to 0.183 from 0.372 in the prior year. Total recordable work-related injuries for employees fell to 13 from 17, and for workers to 37 from 62. One worker fatality was recorded in FY 2025-26, compared to two in FY 2024-25. No employee fatalities or high-consequence injuries were reported in either year.

Environmental Performance

The company's energy and emissions data for FY 2025-26 reflects the following:

Total water withdrawal and consumption was 50,52,880 kilolitres in FY 2025-26. All plants operate under a Zero Liquid Discharge (ZLD) mechanism, resulting in nil water discharge. The company has installed a 10 MLD Sewage Treatment Plant at Bhilwara to reduce dependence on freshwater sources. Key air emission parameters included NOx at 29.09 mg/Nm3, SOx at 32.76 mg/Nm3, and particulate matter at 36.33 mg/Nm3 for FY 2025-26.

Total waste generated was 1,38,86,459 metric tonnes in FY 2025-26, compared to 1,29,08,559 metric tonnes in FY 2024-25. Of this, 1,45,214 metric tonnes were recycled. The company has set a target to shift 22% of its total energy consumption to renewable sources by 2030.

Governance, Ethics, and Compliance

The BRSR covers all nine NGRBC principles, with Board-approved policies in place for eight of the nine principles. Independent assessment of policies was conducted by external agencies including S.K. Gupta and Co. and Deloitte Haskins and Sells LLP. The company reported monetary penalties totalling Rs. 6,47,037 from the Commissioner of Customs (11 cases related to BOE), Rs. 5,148 from the Central Board of Indirect Taxes and Customs (1 case related to CGST), and Rs. 15,000 from the Directorate of Factories (2 cases). No non-monetary penalties, settlements, or compounding fees were reported.

Accounts payable days stood at 69.78 in FY 2025-26, compared to 75.30 in FY 2024-25. Purchases from trading houses as a percentage of total purchases were 24.77% in FY 2025-26. No complaints related to bribery, corruption, or conflict of interest involving directors or KMPs were received in either FY 2025-26 or FY 2024-25.

CSR and Community Initiatives

Jindal SAW's CSR programme, Swayam, focuses on accessibility awareness and para-sports development. Key CSR projects include district-level para-sports talent identification camps, procurement and modification of 10 accessible vehicles, and education scholarships for students with disabilities. Community beneficiaries across various CSR projects included 1,50,000 persons from municipal park cleaning and maintenance activities, 5,00,000 from hospital housekeeping, and 975 from school renovation works, among others. The company is associated with eleven trade and industry chambers and associations, including ASSOCHAM, CII, PHD CCI, and international bodies such as IPLOCA (Switzerland) and the Australian Pipelines and Gas Association.

Jindal Saw Limited reported a broad-based decline in financial performance for Q4 FY26 and the full fiscal year FY26, as the company navigated a confluence of challenges including the suspension of MENA region exports, sluggish domestic water infrastructure execution, and a temporary regulatory setback in its carbon seamless pipe segment. The results were discussed during the company's Q4 FY26 Earnings Conference Call held on April 28, 2026, hosted by ICICI Securities Limited, with key management representatives including Vinay Kumar Gupta, Rajeev Goyal, and Narendra Mantri addressing analysts and investors.

Q4 FY26 Financial Performance

The company's Q4 FY26 results reflected a sequential decline across all key financial metrics on both standalone and consolidated bases. The following table summarises the quarterly performance:

Management noted that the Q4 performance fell short of its earlier expectation of exceeding Q3 results, primarily due to the deferment of export shipments to the MENA region and the impact of a sharp rupee depreciation. The company reported a foreign exchange cost of INR48 crores during the quarter, driven by the rupee's decline from INR88.88 per dollar to INR94.84 per dollar.

Full Year FY26 vs FY25: Steep Year-on-Year Decline

The full-year comparison underscores the extent of the financial deterioration, particularly on the standalone basis where the decline in profitability was most pronounced.

Management attributed the full-year decline primarily to weakness in the ductile iron pipe segment amid ongoing water infrastructure sector challenges, and to the deferment of high-margin export shipments due to the MENA conflict.

Debt Profile and Balance Sheet Strength

Despite the revenue and profitability pressures, the company's debt profile remained relatively contained. As of March 31, 2026, standalone net debt reduced to INR2,453 crores compared to INR3,154 crores in the previous year, with long-term debt standing at only INR529 crores. On a consolidated basis, net institutional debt reduced to INR2,528 crores from INR3,346 crores as of December 31, 2025, with long-term debt at INR692 crores. Management highlighted the company's strong liquidity position and deleveraged balance sheet as a critical buffer during the period of business volatility.

Key Operational Challenges

Management outlined several factors that weighed on Q4 FY26 and full-year FY26 performance:

• MENA Export Suspension: All export shipments have been suspended since March 1, 2026, following the activation of force majeure clauses due to the outbreak of military conflict in the MENA region. The company holds a robust export order book, including a 6 lakh metric ton job contract from Saudi Arabia, with approximately 2 lakh tons of buyer-supplied steel currently held at its facilities. Approximately 30,000 to 40,000 metric tons of material was ready for shipment but was deferred.
• Jal Jeevan Mission Slowdown: Despite positive policy announcements, project execution on the ground remained sluggish, impacting the ductile iron pipe business. Management noted that Q4 sales for the water business were predominantly backed by state-level funding rather than central Jal Jeevan Mission disbursements.
• API Seamless Pipe Suspension: Following an API audit, non-conformances were identified in the carbon seamless pipe segment, resulting in a suspension letter prohibiting the use of the API monogram on seamless pipes. All non-conformances have been addressed and closed. Auditors appointed by API authorities are scheduled to revisit the Nashik facility in May 2026 for verification. The company is leveraging flexible manufacturing capabilities to redirect production towards alternative seamless pipe products in the interim.
• Foreign Exchange Impact: A sharp depreciation of the rupee from INR88.88 per dollar to INR94.84 per dollar resulted in a foreign exchange cost of INR48 crores during Q4 FY26.

Subsidiary and Joint Venture Performance

The Abu Dhabi subsidiary delivered approximately 48,000 tons of pipes in Q4 FY26, compared to 52,000 tons in Q3 FY26, as regional conflict disrupted operations. As of March 31, 2026, the subsidiary holds an order book of approximately $180 million, equivalent to approximately 171,000 metric tons, representing approximately 9 months of operational visibility. In the Jindal Hunting joint venture, where Jindal Saw holds a 51% stake and Hunting holds 49%, the venture generated revenue of approximately INR149 crores with a PAT of INR43.20 crores, compared to revenue of INR177 crores and PAT of INR51.50 crores in FY25.

Strategic Initiatives and Capital Expenditure Outlook

Management outlined several strategic initiatives aimed at positioning the company for recovery and growth:

• A carbon seamless pipe plant is being set up in Abu Dhabi through a wholly owned subsidiary, with land secured and equipment ordering and LC establishment underway. A long-term lease agreement with AD Ports for the land parcel has been signed.
• In Saudi Arabia, a joint venture has been established with Buhur Group, with Jindal Saw holding 51% and Buhur Group holding 49%, to set up LSAW and HSAW facilities. Land for one of the projects has been secured and LCs established for select equipment.
• For domestic capital expenditure, management guided for INR500 crores to INR600 crores in the current fiscal year, following INR800 crores spent in FY26. For the subsequent year, capex is expected in the range of INR400 crores to INR500 crores.

Management acknowledged that Q1 of the current fiscal year is also expected to be impacted by the persisting challenges, particularly the ongoing MENA export suspension and the API seamless pipe regulatory timeline. The company expressed confidence in its ability to ramp up operations quickly once conditions in the MENA region normalise, given its fully booked order book and strong balance sheet.