Jindal SAW has announced its Q3 consolidated financial results, revealing a challenging quarter with significant declines across key performance metrics. The company's profitability came under pressure as net profit dropped substantially compared to the corresponding period last year.

Financial Performance Overview

The company's Q3 consolidated results demonstrate the impact of challenging market conditions on its operational performance. Key financial metrics showed a downward trend across revenue, profitability, and margin parameters.

Revenue and Profitability Analysis

The company's revenue performance reflected subdued demand conditions, with consolidated revenue declining to ₹4,940.00 crores from ₹5,270.00 crores in the year-ago quarter. This 6.3% decline in top-line growth indicates challenges in maintaining sales momentum during the quarter.

Net profit performance was particularly concerning, with consolidated net profit falling significantly to ₹260.00 crores compared to ₹500.00 crores in Q3 of the previous year. This 48% year-on-year decline highlights the pressure on the company's bottom-line performance.

Operational Efficiency Metrics

EBITDA performance showed substantial weakness during the quarter, declining to ₹600.00 crores from ₹940.00 crores in the corresponding quarter last year. The 36.2% drop in EBITDA reflects challenges in maintaining operational efficiency and cost management.

The EBITDA margin compression was particularly notable, falling to 12.40% from 17.83% in the year-ago period. This 543 basis points decline in margin indicates significant pressure on the company's operational profitability and cost structure management during the quarter.

Jindal Saw Ltd announced its unaudited financial results for the quarter and nine months ended December 31, 2025, demonstrating operational recovery and maintaining a robust order book position. The company reported mixed financial performance with revenue declining year-on-year but showing sequential improvement over the previous quarters.

Financial Performance Overview

The company's consolidated financial performance for Q3FY26 showed total income of ₹49,630.00 million compared to ₹52,933.00 million in Q3FY25, representing a decline of 6.24%. However, this marked a significant improvement from Q2FY26's ₹42,640.00 million, indicating operational recovery.

On a standalone basis, the company achieved an EBITDA margin of 12.70% in Q3FY26 compared to 19.50% in Q3FY25. The consolidated EBITDA margin stood at 12.70% versus 18.20% in the corresponding quarter of the previous year.

Record Order Book Achievement

Jindal Saw achieved a significant milestone with its order book reaching approximately $1,481.00 million, marking an all-time high in terms of volumes at approximately 1.96 million MT. The order book composition demonstrates strong diversification across product segments and geographical markets.

The Iron & Steel Pipes order book includes significant export components, with export orders accounting for approximately 0.72 million MT (37% of total quantity) and constituting 30% of the total order book value. A major export job-work order for 0.62 million MT for the water sector, secured in Q2FY26, is currently under execution and scheduled for completion over the next 15-18 months.

Operational Performance and Production Metrics

The company's operational performance showed marked improvement in Q3FY26 compared to the previous two quarters. Production and sales volumes demonstrated the company's ability to scale operations effectively based on market demand and order book execution requirements.

The new piercing mill in the Seamless plant commenced production during Q3FY26, with the company working towards achieving stable productivity levels. The water pipe business in India, primarily Ductile Iron pipes, continued to face challenges despite maintaining a strong order backlog of over one year.

Debt Management and Financial Position

Jindal Saw demonstrated effective debt management with reductions in both long-term and working capital debt positions. The company's institutional debt decreased across both standalone and consolidated operations.

The company maintained strong credit ratings with CARE Ratings reaffirming "CARE A1+" for short-term debt facilities and "CARE AA (Outlook Stable)" for long-term debt facilities in July 2025. Brickwork Ratings reaffirmed "BWR AA with Stable Outlook" for Non-Convertible Debentures of ₹5,000.00 million in October 2025.

International Expansion and Strategic Initiatives

Jindal Saw continues to expand its international footprint through strategic partnerships and new facility development. The company has established Jindal Seamless Pipe Manufacturing LLC as a wholly-owned step-down subsidiary to develop a seamless pipe manufacturing facility in Abu Dhabi, UAE. Initial equity has been infused, and the company has secured a lease for approximately 4 lakh square meters of land.

In Saudi Arabia, the company formed a joint venture with Buhur Altavision Company for developing a Submerged Arc Welded pipe manufacturing facility, with Jindal Saw holding a 51% stake. Additionally, a joint venture agreement has been signed for establishing a Ductile Iron pipe facility in KSA.

Jindal Saw Gulf LLC in Abu Dhabi delivered approximately 52,000 MT of corrosion-resistant Ductile Iron pipes in Q3FY26 and maintains an independent order book of approximately $235.00 million, ensuring operational stability for the next 9-12 months.