Net Profit Surges 47% YoY to ₹15.03 Crore; Net Worth Expands to ₹672.76 Crore as Aggressive Deleveraging Triggers Margin Expansion

Visakhapatnam : Steel Exchange India Limited (NSE: STEELXIND, BSE: 534748), one of South India’s premier integrated steel manufacturers, today approved the standalone and consolidated un-audited financial results for the first quarter ended June 30, 2026. The results demonstrate an incredibly strong performance trajectory, underscored by exponential growth in bottom-line profits, expanding margin metrics, and an aggressive, highly disciplined capital optimization plan.

During the quarter, the company recorded Total Income of ₹27,070.92 Lakhs. By maintaining rigid cost controls and realizing deep backward integration advantages at its Vizianagaram facility, SEIL efficiently mitigated raw material volatility. This focus culminated in a magnificent 46.89% YoY jump in Net Profit to ₹1,502.56 Lakhs. Sequentially (QoQ), Net Profit grew by an outstanding 21.46% against the ₹1,237.04 Lakhs recorded in Q4 FY26, highlighting sustained upward momentum.

Strategic Inflow of Capital and Balance Sheet Transformation

SEIL’s balance sheet underwent a powerful transformation this quarter. The company successfully executed preferential allotments, receiving ₹14,089.50 Lakhs upon the allotment of Convertible Equity Share Warrants. Additionally, the company allotted 2,82,97,870 Equity Shares upon the successful conversion of warrants, bringing in a premium amount of ₹3,989.99 Lakhs. This strong capital influx has propelled the company’s Net Worth to an all-time high of ₹67,276.25 Lakhs, significantly lower leverage risk and maximizing investor security.

Concurrently, finance costs dropped sharply to ₹1,398.16 Lakhs from ₹1,889.06 Lakhs in Q1 FY26, directly amplifying profitability. The company’s focus on long-term value creation is further evidenced by a strong Interest Service Coverage Ratio of 2.52x and an elevated Asset Coverage Ratio of 3.77x.

Q1 FY27 Key Financial Highlights

  • Total Income of ₹27,070.92 Lakhs, YoY Change of -11.23%
  • Total Expenses of ₹25,568.36 Lakhs, YoY Change of -13.25%
  • Net Profit of ₹1,502.56 Lakhs, YoY growth of 46.89%
  • Net Profit Margin (%) of 6.00%, YoY growth of 220 Bps
  • Basic & Diluted EPS of ₹0.12, YoY growth of 33.33%
  • Debt-to-Equity Ratio (Times) of 0.27x, improved from 0.48x

Commenting on the financial performance, the management of Steel Exchange India Limited said: “ Our stellar performance in Q1 FY27 is a resounding validation of our structural transition towards an efficient, low-debt corporate platform. By doubling our net profit margins and radically lowering our leverage to 0.27x, we are firmly positioning Steel Exchange India Limited to capitalize on India’s booming infrastructure push. The recent equity inflows strengthen our liquid resources, enabling us to support sustainable long-term expansion while consistently maximizing value for our retail and institutional shareholders”