Jai Balaji Industries LimitedUnclassifiedJAIBALAJI
Q1 FY27 earnings callJai Balaji Industries Limited
The company delivered strong revenue and profit growth driven by ferroalloys and improved realizations, but the core ductile iron pipe segment remains subdued due to slow government ordering and project execution.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue | INR1,683 crores | 24% | |
| Adjusted EBITDA | INR154 crores | 46% | |
| PAT | INR85 crores | 21% | |
| Value-added Products Contribution | 42% | — | |
| Net Term Debt | INR188 crores | — |
Financials
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹1,486.39 Cr-3.4% YoY-4.5% QoQ | ₹120.42 Cr-48.7% YoY-21.4% QoQ | ₹1.32-91% YoY-84.3% QoQ |
| Q2 FY25 | ₹1,556.57 Cr+0.6% YoY-9.4% QoQ | ₹153.16 Cr-24% YoY-26.7% QoQ | ₹8.42-34.2% YoY-30.4% QoQ |
| Q1 FY25 | ₹1,718.31 Cr+15.9% YoY-6.9% QoQ | ₹208.82 Cr+22.5% YoY-23.5% QoQ | ₹12.10+6.7% YoY-28.6% QoQ |
| Q4 FY24 | ₹1,845.60 Cr+7.1% YoY+19.9% QoQ | ₹272.98 CrTurned profitable YoY+16.4% QoQ | ₹16.95Turned positive YoY+15.1% QoQ |
| Q3 FY24 | ₹1,538.99 Cr+0.1% YoY-0.5% QoQ | ₹234.60 Cr+740.6% YoY+16.4% QoQ | ₹14.72+625.1% YoY+15.1% QoQ |
TL;DR
- Revenue grew 24% YoY to INR1,683 crores, with adjusted EBITDA up 46% and PAT up 21%.
- Value-added and specialized products contributed 42% of sales, led by strong ferroalloy performance.
- Ductile iron pipe market remains weak with industry-wide low capacity utilization; recovery is expected post-monsoon as government funds are released.
- Capacity expansions in DI pipe, ferroalloys, and blast furnace are on track for commissioning by Q3 FY27.
- Net term debt is down significantly to INR188 crores, providing a strong financial foundation.
Said on the call
“From here things cannot get worse, it has to improve.”
From the Q&A
| Topic | What management said |
|---|---|
| DI Pipe Demand Outlook | Management expects post-monsoon recovery in dispatches and payments, with improvement likely from Q3, as central funds (INR10,344 crores) have been released and state matching shares will follow. |
| DI Pipe Volume & Margin Guidance | No volume or EBITDA guidance was provided as the market has not fully opened up; current capacity utilization is only 30%. Management stated prices are at rock bottom and cannot get worse. |
| Revenue Break-up | Provided Q1 revenue mix: Sponge iron 7.4%, Pig iron 19.13%, Ferroalloys 27.33%, Billets 3.54%, TMT bar 14.83%, Ductile iron pipe 14.95%, Coke 7%, Scrap & fines 1%. |
| Ferroalloy Utilization & Margin | Achieved >80% capacity utilization in ferroalloys; expects 80-90% after new module commission. Margins for specialized ferroalloys are 15-18% vs. 5-7% for conventional steel products, and are expected to sustain. |
| Jal Jeevan Mission Dues | Started receiving some funds in small lots; around 25-35% of outstanding receivables have been released, with expectation that older outstanding will be liquidated over the next few months. |
| Order Book Visibility | Current DI pipe order book is equivalent to about four months of dispatch at current capacity utilization. |
Guidance
- DI pipe capacity expansion to 5.5 lakh TPA and specialized ferroalloy capacity to 1.9 lakh MTPA are expected to be commissioned by Q3 FY27.
- With the completed capacities, the company should reach INR7,000 crores to INR7,500 crores turnover in a normal market.
- Target capacity utilization for DI pipes is more than 60% when demand normalizes.
- Value-added product contribution is targeted to reach around 70% as per plant design.
- Expects sustained debt reduction; net term debt should see a big dip by year-end March.
Source
Summary written from the transcript filed by Jai Balaji Industries Limited for the call held on 14 Aug 2026; published 18 Aug 2026, 20:24 IST.