Shares of Jindal Saw fell over 5% in Monday’s session after the company reported a weak set of Q4FY26 results, with profitability taking a sharp hit.
The company posted a 52% year-on-year decline in net profit to Rs 139.4 crore, compared to Rs 291 crore in Q4FY25. Revenue from operations also declined 8% YoY to Rs 4,633.5 crore, indicating softer business performance during the quarter.
Operational performance remained under pressure, with EBITDA falling 34.7% YoY to Rs 480.9 crore, down from Rs 736.1 crore. As a result, EBITDA margin contracted significantly to 10.4% from 14.6%, reflecting margin stress and weaker profitability.
Despite the weak earnings, the board recommended a dividend of Rs 2 per equity share for FY26, amounting to an estimated payout of around Rs 127.9 crore, subject to shareholder approval.
In addition to financials, the company announced key developments including the appointment of Ashutosh Karnatak as an additional independent director, along with RJ Goel & Co as cost auditors and Deloitte Haskins and Sells LLP as internal auditors for FY27.
The board also approved an in-principle decision to divest its wholly-owned subsidiary Raleal Holdings Limited, Cyprus, although the timeline and execution details remain unclear.
The sharp decline in profit, margin contraction, and weak operational performance appear to be the primary reasons behind the stock’s decline today.
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