OREANDA-NEWS. JSPL, notwithstanding a shrinking global and sluggish local market; adverse economic conditions in the home market; power transmission constraints and major devaluation of the Indian Rupee, has achieved impressive growth in its earnings. While the revenue of JSPL standalone increased by 2.8%, its PBT and PAT for Q1-FY 13-14 increased substantially, compared to the same period last year. While the overall sales volume of Steel and Cement business witnessed a modest growth, its intensified efforts in export market resulted in export volumes jump up by 220%. JSPL’s continued thrust in steel retail marketing and country wide appointment of distributors and dealers saw a multi-fold growth in the retail sales volume. The company continued to focus on reduction of its finished goods inventory leading to a drop in its previous year’s level of Rs. 1,802 Cr at the end of Q1 FY 12-13 to Rs. 1,362 Cr in Q1 FY 13-14.

Although the prices of all steel products dropped between 10-15% compared to the same period last year, JSPL through its multiple initiatives in reduction of material and Sales & General Administrative costs succeeded to retain its EBITDA margins at a decent level. JSPL’s PBT levels were however adversely affected due to additional burden of depreciation and interest cost of its new investments in Angul and foreign exchange (MTM) losses due to a declining Indian Rupee. The Company in spite of all challenges, maintained tempo in completing its 4x600 MW Tamnar Phase - 2 project as well as its new steel plants in Angul and Oman which would be fully commissioned as per the targeted schedule during 2013-14.

As a part of its unequivocal commitment to achieve high standards of Corporate Governance, the company introduced a comprehensive governance structure streamlining and integrating all Business Segments and Units spread across India and Overseas locations. Board level subcommittees have been setup for the management of “New Investments”, associated risks, Health Safety & Environment (HSE) and CSR (Corporate Social Responsibility).

The Company remains cautiously optimistic and confident of achieving its targeted performance in the quarters to come.