Shares of Jindal Stainless rose more than 7% to Rs 300.50 in early trade on May 18 after the stainless-steel maker reported a consolidated net profit of Rs 716.29 crore for the March quarter, beating expectations.

Net profit fell 19.96% year-on-year (Rs 894.93 crore in Q4FY22) but topped Bloomberg estimates of Rs 603.07 crore.

The company posted a profit of Rs 512.62 crore in the last quarter ending December 2022.

Operating income edged up 0.4% to Rs 9,765.08 crore from Rs 9,725.91 crore in the third quarter of the previous financial year.

EBITDA fell 19% to Rs 1,143.93 crore but beat expectations for Rs 904.20 crore. For the full FY22-23, net profit stood at Rs 2,083.83 crore, down 33% from Rs 3,109.39 crore in FY22.

Jindal Stainless has proposed a final dividend of Rs 1.50 per share to shareholders, bringing the total dividend payment for FY23 to Rs 2.50 per share.

In a statement, JSL said it achieved its highest-ever quarterly sales of 5,07,632 tonnes as it increased export sales in Q4FY23 following the removal of export duties. The net debt for 2022-23 is Rs 2,591 crore.

The company’s 1 million tonnes stainless steel melting plant capacity expansion was completed in March 2023, along with the supporting downstream facilities in Jajpur, bringing total smelting capacity to 2.9 million tonnes per annum within the committed timeline.

The merger of Jindal Stainless (Hisar) and Jindal Stainless Ltd (JSL) will be completed in FY23. Separately, JSL’s acquisition of a 74% stake in Jindal United Steel Ltd (JUSL) is also on track. This will be completed within the committed timeline and JUSL will become a 100% owned subsidiary of JSL.

Shares in Jindal Stainless have risen 18.8% this year, doubling over the past year.