Jayaswal Neco Q1: standalone PAT doubles to ₹194 Cr as finance costs nearly halve

Jayaswal Neco Industries reported a strong Q1 FY27 (quarter ended June 2026, standalone; the company does not prepare consolidated accounts), with net profit of ₹193.92 Cr, up 108.5% YoY from ₹93.02 Cr, on revenue of ₹2,106.56 Cr, up 27.7% YoY. The result is clean — no exceptional items on either side of the comparison — so the reported doubling is the true underlying picture rather than a base-effect artifact.

The profit jump rests on two legs. Topline grew on the Steel segment, where revenue rose ~31% YoY to ₹1,992 Cr and segment PBT climbed ~41% to ₹340.85 Cr; the smaller Iron & Steel Castings segment stayed weak, with profit collapsing to ₹0.84 Cr from ₹7.75 Cr a year ago. The larger swing, though, was below the operating line: finance costs fell to ₹65.53 Cr from ₹119.38 Cr a year earlier — a ₹53.85 Cr (~45%) reduction that reflects deleveraging and flowed almost entirely to the bottom line. Net margin expanded to 9.2% from 5.6% YoY. Depreciation (₹76.85 Cr) and employee cost (₹118.53 Cr) rose broadly in line with scale.

The stock went into the print at ₹90.1, down 1.9% over the past month of trading.

For context: this is the highest quarterly PAT in the last 6 quarters on our records; PAT has now risen for 2 consecutive quarters; revenue is at a 6-quarter high.

PBT ₹264.97 Cr vs ₹125.39 Cr YoY — no exceptional items, so reported growth = underlying; EPS ₹2.00 (not annualised)

Sequentially the print is only modestly ahead — revenue +6.7% and PAT +1.6% versus Q4 FY26's ₹1,974 Cr / ₹190.87 Cr — and QoQ net margin edged down from 9.65% to 9.2%, so the story is firmly a year-on-year one. The company gives no formal guidance and no analyst consensus exists for this smallcap, so there is no external benchmark to score against. Two overhangs sit outside the numbers: the auditor's Emphasis of Matter on the ED's ₹307.58 Cr property attachment (tribunal set it aside; ED's appeal is pending in the Supreme Court), and a senior-management resignation flagged on July 9. Alongside results the board also called the 53rd AGM for September 12, 2026 and reappointed Chaturvedi & Shah as auditors for five years.