SAIL (Steel Authority of India Ltd)'s Q1 FY 2025-26 Quarterly Results

Result Summary

• SAIL (Steel Authority of India Ltd) reported a 7.7% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 7.9%.
• Its expenses for the quarter were down by 4.9% QoQ and up 5.5% YoY.
• The net profit decreased 33.9% QoQ and increased 810.5% YoY.
• The earnings per share (EPS) of SAIL (Steel Authority of India Ltd) stood at 1.8 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Steel Authority of India Ltd (SAIL) is one of the largest steel-making companies in India and a leading player in the steel industry. The company is primarily engaged in the production and sale of a wide range of steel products including hot and cold rolled sheets and coils, galvanized sheets, silicon steel sheets, and structural sheets. As a public sector enterprise, SAIL operates under the purview of the Ministry of Steel, Government of India. The company operates and owns integrated steel plants and special steel plants across India, providing a strong domestic presence. Recent developments in the company include initiatives to enhance production capacity and improvements in technological and operational efficiencies.

Revenue

In the first quarter of the fiscal year 2026 (Q1FY26), SAIL reported a total income of ₹26,083.90 crores, marking a 7.9% increase year-over-year (YoY) from ₹24,174.80 crores in the first quarter of the previous fiscal year (Q1FY25). However, there was a quarter-over-quarter (QoQ) decline of 7.7% from ₹28,271.94 crores in the fourth quarter of the fiscal year 2025 (Q4FY25). This reduction in revenue QoQ might be attributed to factors affecting the steel industry globally, including fluctuating market demand and pricing pressures. The YoY increase could reflect the company's strategic efforts in market expansion and product diversification.

Profitability

SAIL's profit before tax (PBT) for Q1FY26 was ₹894.71 crores, showing a significant improvement from a loss of ₹8.56 crores in Q1FY25, representing a YoY change of -10552.2%. Despite this YoY improvement, there was a considerable QoQ decline of 30.9% from ₹1,295.74 crores in Q4FY25. The profit after tax (PAT) for Q1FY26 stood at ₹744.58 crores, which is an increase from ₹81.78 crores in Q1FY25, reflecting an 810.5% YoY growth. Nonetheless, PAT declined by 33.9% QoQ from ₹1,125.68 crores in Q4FY25. This decline QoQ in profitability metrics may be due to increased costs or reduced margins in the recent quarter.

Operating Metrics

Earnings per Share (EPS) for SAIL in Q1FY26 was reported at ₹1.80, significantly higher than ₹0.20 in Q1FY25, indicating a YoY growth of 800.0%. However, EPS saw a QoQ decline of 33.3% from ₹2.70 in Q4FY25. Total expenses for Q1FY26 were ₹25,189.19 crores, which is a 5.5% increase YoY from ₹23,871.60 crores in Q1FY25, and a 4.9% decrease QoQ from ₹26,473.86 crores in Q4FY25. The decrease in total expenses QoQ suggests cost management efforts, although the YoY increase could indicate rising input costs or increased production activities.