JSPL makes new 52-week high post prepayment of Rs 2,462 crore to term lenders

Jindal Steel & Power Ltd (JSPL) today announced that it has made a prepayment of Rs 2,462 crore to its term lenders. This is in line with the company's goal of debt reduction and building a robust balance sheet with an optimum capital mix.  

The company has recently announced divestment of its thermal power business to reduce its debt further and also to cut down on its carbon footprint by almost half.    

The company had a debt of Rs 46,500 crore in Q3FY17. It had been reduced by Rs 20,000 crore. JSPL reported a debt of Rs 25,600 crore in Q3FY21. This additional reduction of Rs 2,462 crore is over & above the annual committed debt reduction in FY21.  

Reacting to this, the company’s stock today increased by 4.41 per cent and made an intraday high of Rs 501.60 per share.  

The company reported a net profit of Rs 2,526.68 crore in Q3FY21. In Q3FY20, it had reported a loss of Rs 218.57 crore. JSPL reported net sales of Rs 10,533.51 crore for Q3FY21, which is an increase of 39.96 per cent, as against the net sales of Rs 7,526.24 crore for Q3FY20.  

The company has a presence in steel, power, mining and infrastructure sectors.  

According to BSE data, the stock traded at a P/E multiple of 12.12 and a price-to-book ratio of 1.94. The stock has a 52-week high and a 52-week low of Rs 501.60 and Rs 84.30, respectively.     

At 10.45 am, the stock of the company was trading at Rs 493.25, up by 2.67 per cent on BSE.