Vedanta Iron shares hit 5% lower circuit after Q2 FY27 results -
Revenue from operations declined 1.7 per cent year-on-year (YoY) to Rs 2,742 crore in Q2 FY27 from Rs 2,790 crore in Q2 FY26. On a quarter-on-quarter (QoQ) basis, revenue fell from Rs 3,662 crore in Q1 FY27.
Shares of Vedanta Iron and Steel Ltd fell 5 per cent to hit the lower circuit limit of Rs 26.60 in Wednesday's trade, a day after the company announced its September quarter results for FY27 (Q2 FY27) post-market hours.
The company reported a narrowing of its loss after exceptional items to Rs 324 crore in Q2 FY27, compared with Rs 477 crore in the corresponding quarter of the previous fiscal year. It had reported a profit of Rs 121 crore in the preceding quarter (Q1 FY27).
Revenue from operations declined 1.7 per cent year-on-year (YoY) to Rs 2,742 crore in Q2 FY27 from Rs 2,790 crore in Q2 FY26. On a quarter-on-quarter (QoQ) basis, revenue fell from Rs 3,662 crore in Q1 FY27.
The company's earnings before interest, taxes, depreciation and amortisation (EBITDA) rose 56 per cent YoY to Rs 83 crore in the September quarter from Rs 54 crore a year earlier. However, EBITDA declined 84 per cent QoQ from Rs 515 crore in Q1 FY27.
Ravi Singh, Chief Research Officer at Master Capital Services, said, "The company's losses remain a key concern despite its revenue performance. Investors may wait for a few more quarters for signs of financial improvement."
Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, said, "For any kind of serious investment decision, I prefer to wait for a few quarters and monitor how the next results pan out."
Separately, ESL Steel Ltd (ESL), a subsidiary of Vedanta Iron, has received a Demand-cum-Show Cause Notice from GST authorities following observations arising from audit proceedings for FY2022-23 to FY2023-24.
According to the notice, the GST Department has proposed the recovery of GST and reversal of input tax credit totalling Rs 11,76,63,519, along with applicable interest and penalty. The amount comprises IGST of Rs 6,98,75,763, CGST of Rs 2,38,93,878 and SGST of Rs 2,38,93,878.
"ESL is examining the said notice and shall take appropriate steps in accordance with applicable laws within the prescribed timelines. The Company does not envisage any significant financial and operational impact on the Company," Vedanta Iron said.
Vedanta Iron is one of the four independent companies formed following the demerger of Anil Agarwal-led Vedanta Ltd.
Related Stories
Raymond Lifestyle Q2 Results: Profit falls 10% as higher raw material, freight costs squeeze margins
Raymond Lifestyle reported a 10.19% year-on-year decline in Q2 net profit to ₹68 crore, even as revenue rose 13.2% to ₹2,075 crore. EBITDA fell 2.6% to ₹220 crore, with the margin narrowing to 10.61% from 12.33%. Branded Apparel and Garmenting recorded strong revenue growth, while the company moved from a net debt position of ₹246 crore a year earlier to net cash of ₹69 crore in September 2026.
RIL, JFSL shares slip; experts see buying opportunities after Jio Platforms listing -
Jio Platforms, RIL's subsidiary and digital arm, listed at Rs 1,358, a premium of 21.36 per cent over its issue price of Rs 1,119. The stock subsequently climbed to a high of Rs 1,423.80 before closing at Rs 1,419, marking a gain of 26.81 per cent over its issue price on debut.
Tata Motors’ Iveco takeover offer turns unconditional as shareholding reaches 89%
Tata Motors’ offer for Iveco Group has become unconditional after 238.16 million shares were tendered, taking its subsidiary’s holding to 89.42% of Iveco’s common share capital, net of treasury shares. The final results confirm that the threshold and all other conditions of the offer have been met.