Jindal Saw Ltd. — Call Transcript 2025

Oct 29, 2025

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October 29, 2025

BSE Limited National Stock Exchange of India Limited, Corporate Relation Department Listing Department, 1st Floor, New Trading Ring Exchange Plaza, Rotunga Building Phiroze Jeejeebhoy Towers Bandra Kurla Complex Dalal Street, Bandra (East) Mumbai - 400 001 Mumbai – 400 051 Stock code: 500378 Stock code: JINDALSAW

SUB.: Intimation under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) – Regulations, 2015 Transcript of Investor conference call on the financial results of the Company

Dear Sirs,

This is with reference to the captioned subject and our letters dated October 16, 2025 and October 23, 2025. Please find attached the transcript of the conference call organized by the Company for analyst and investors on the Unaudited (Standalone & Consolidated) financial results (Q2FY26) of the Company for the quarter ended September 30, 2025 on Thursday, October 23, 2025 at 16:00 Hrs (IST) and the same has also been uploaded on the website of the Company.

This is for your information and record please.

Thanking you, Yours faithfully, For JINDAL SAW LTD.,

SUNIL Digitally signed by KUMAR SUNIL KUMAR JAIN Date: 2025.10.29 JAIN 12:15:59 +05'30'

Sunil K. Jain Company Secretary FCS- 3056

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“Jindal SAW Limited Q2FY26 Earnings Conference Call hosted by ICICI Securities Limited”

October 23, 2025

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– MANAGEMENT: MR. NARENDRA MANTRI CHIEF OPERATING & FINANCIAL OFFICER, JINDAL SAW LIMITED – MR. VINAY KUMAR PRESIDENT & HEAD (TREASURY), JINDAL SAW LIMITED

– MR. RAJEEV GOYAL SENIOR VICE PRESIDENT (CORPORATE FINANCE), JINDAL SAW LIMITED – MODERATOR: MR. VIKASH SINGH ICICI SECURITIES LIMITED

Jindal SAW Limited October 23, 2025

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Moderator:

Ladies and Gentlemen, Good Day and Welcome to Jindal SAW Limited Q2 FY26 Earnings Conference Call hosted by ICICI Securities Limited.

This conference call may contain forward-looking statements about the company which are based on the beliefs, opinions, and expectations of the company as on date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict.

As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing “*”, then “0” on your touchtone phone. Please note that this conference is being recorded.

I now hand the conference over to Mr. Vikash Singh. Thank you and over to you, Mr. Singh.

Vikash Singh:

Good afternoon, everyone. Welcome to Jindal SAW Q2 FY26 Con-Call.

On the Management side, we have with us Mr. Narendra Mantri – Chief Operating and Financial Officer; Mr. Vinay Kumar – President and Head (Treasury); and Mr. Rajeev Goyal – Senior Vice President (Corporate Finance).

Without taking any more time, I will hand over to “Mr. Vinay Kumar for his Opening Remarks.” Over to you, sir.

Vinay Kumar:

Thanks, Vikash. So, good afternoon, friends. Wishing you all a very happy Diwali and blessed festival season. I now welcome all of you to the investors' call of Jindal SAW Limited for Q2 FY26. On behalf of Jindal SAW management, we extend our sincere thanks to ICICI Direct for hosting this Call.

The Board of Directors formally approved the unaudited financial results during its meeting on October 17. The results have been released to stock exchange in compliance with the regulatory requirements. Hope you would have had a chance to look at the results.

I will now provide an update on the operations of the company, subsidiaries, etc.

As you would have seen, the 2nd Quarter of the current year saw significantly weaker performance compared to both the prior year and the preceding quarters. And the prognosis of Q2 is we are providing agenda. The overall macro level indicators in domestic and export markets remained robust. The company has recorded one of the highest order books specifically for the water sector which means the company has secured large number of future projects related to water infrastructure, reflecting strong visibility. This is a positive indicator of the company's growth potential.

Jindal SAW Limited October 23, 2025

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The total volume of order book for five businesses increased to 19.25 lakh tons in September '25 as compared to 15.60 lakh in June '25. We believe that this is the highest order book what we have seen in so many years for Jindal SAW.

Among our recent achievements is a new export contract for the supply of approximately 6,22,000 metric tons of helical pipes [ph] for a water-related infrastructure project in Kingdom of Saudi Arabia. Manufacturing for this specific order is slated to start sometime in Q3… we are running into Q3. The margin of this order are in line with the other export business of helical pipes.

The company has commenced a trial phase of its new seamless piercing mill with commercial production slated to be in this quarter sometime next month because this is a technological product and the stability takes time, but we expect that the operations can commence.,.. or commercial operations can commence in this quarter.

This expansion is projected to increase the seamless production capacity by approximately 1,50,000 metric tons per annum.

Our DIE facilities in India are fully committed for the foreseeable future with the current backlog of one year. Although the wider markets were robust, but extended payment cycles from the water infrastructure EPC companies in India have severely impacted the cash flows and operational stability of pipe manufacturing suppliers like us. The protracted payment timelines often associated with the government-funded water projects present significant liquidity and project management challenges. We recognize that the current uncertain environment will have an effect on our operations and financial outlook. However, we are managing our strategies accordingly.

Overall, our business faced significant challenges during Q2, which limited our performance. While export and domestic market demand remained robust, however, tight liquidity and prolonged rain spells hampered our operations and financial results. These factors were the main contributor to lower output, decreased sales, tighter margins, and the rise in inventory.

Now, we believe the current situation is expected to be of short term. We gain our confidence from the historically high order books, healthy liquidity position of the company, and disciplined debt management. The company maintains robust working capital lines to effectively manage all operational requirements.

Now, let me address the financials of Q2 & H1:

Of course, you have got the result, but still just to repeat and recapture. On the tenure basis, the company recorded total income of Rs.3,410 crores as compared to Rs.3,327 crores in Q1 of FY26 and Rs.479 crores of Q2 of FY25. The EBITDA for Q2 FY26 is reported as Rs.335 crores as compared to Rs.560 crores in Q1 FY26 and Rs.875 crores in Q2 of FY25. The PAT for Q2 FY26 is

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reported as Rs.79 crores as compared to Rs.364 crores in Q1 of FY26 and Rs.477 crores in Q2 of FY25.

On consolidated basis, the company recorded total income of Rs.4,264 crores as compared to Rs.4,103 crores in Q1 FY26 and Rs.5,602 crores of Q2 FY25.

The EBITDA for Q2 FY26 is reported as Rs.482 crores as compared to Rs.688 crores in Q1 FY26 and Rs.944 crores in Q2 of FY25.

The PAT for Q2 FY26 is reported as Rs.138 crores as compared to Rs.415 crores in Q1 of FY26 and Rs.475 crores in Q2 of FY25. So, the standalone operations have suffered but consolidated operations have shown improvement, especially from the UAE operations.

The net debt of the company on a standalone basis has increased to Rs.3,310 crores as at 30th September as compared to Rs.3,088 crores as at 30th June 2025. The long-term debt is approximately Rs.550 crores only. The net debt of the company on a consolidated basis has increased to Rs.3,856 crores as at 30th September FY25 as compared to Rs.3,484 crores as at 30th June 2025. The longterm institutional debt is only Rs.742 crores on consolidated basis.

Now to summarize:

Predicting the near-to-long-term outlook is difficult at this point of time as the business environment is affected by persistent geopolitical challenges and delays in government funding, etc.,. The company’s order book has strengthened significantly and continues to be strong with new orders secured across all business segments. We are also receiving positive marketing enquiries from both domestic and export sectors. The order book status sets the stage for a progressive strengthening of operations and financial results starting from Q3. We have a very comfortable long-term debt position. Our stand-alone long-term debt is roughly Rs.550 crores, of which Rs.500 crores is tied up to an NCD with LIC that will be redeemed in the 2028-2030 period.

Working capital usage is directly influenced by our business operations and the broader business environment. We are optimistic about seeing improvement in this area as well. .In view of this, we may expect gradual improvement of operational and financial performance from Q3 onwards.

Now, let me discuss something about our subsidiaries and joint ventures:

In our Abu Dhabi operation, the entity has done well as compared to the previous quarter. It recorded sales of approximately Rs.607 crores in Q2 as compared to Rs.525 crores in Q1 of FY26. And the order book of Abu Dhabi operation stands at USD235 million, corresponding to approximately 2,15,000 metric tons of ductile pipes. And this gives the visibility of three to four quarters. Now, this

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is over and above the order book of approximately 19 lakh tons of what we have discussed earlier for Jindal SAW.

In USA, the company has a marginal operation which remains profitable in Q1. Total revenue was Rs.173 crores in Q2, which is marginally lower as compared to Q1 where the income was Rs.188 crores. But in the US, we have only small operations. So, it is not that meaningful in terms of percentage.

We have a joint venture with Hunting, which is Jindal Hunting. And this joint venture has contributed Rs.9.4 crores in Q2 for this financial year as compared to Rs.9.5 crores. So, the performance has been flat. But in the corresponding year previous quarter, it was Rs.6.8 crores. So, this year, we are doing better, let us say Rs.10 crores approximately every quarter.

Some update on JITF versus the legal suit with NTPC. Now, some arguments took place in the last hearing in front of the Hon’ble Double Bench of Delhi High Court. The bench has given another date which is on 27th October. If the continuous hearings happen, we can expect some pronouncement in this financial year. But that will depend on how the parties respond and how the date goes on.

In terms of our updates on the new projects which are announced in GCC MENA region, like in the steady move to align with the shifting economic landscape of the GCC MENA region, Jindal SAW board approved three new manufacturing projects in June 2025. These nations are actively pursuing economic diversification away from oil and prioritizing local manufacturing, a trend Jindal SAW is proactively addressing. As a long-standing supplier and an existing Abu Dhabi-based DI pipe manufacturer, this expansion strengthens our competitive position in these key markets. The investment includes a new seamless pipe plant in Abu Dhabi, a helical pipe facility, and a DI pipe finishing line in Saudi Arabia. These projects may be completed gradually in the next two to three years, and we will be consolidating these with Jindal SAW Limited.

Now, subsequent to these projects overview shared during our last few investor briefings, we are now actively engaged in key development stages. We are currently finalizing agreements with potential joint venture partners, and advancing the formal incorporation of the new companies. Concurrently, we are focusing on securing land and finalizing the financial closures for each of the projects.

Now, with this, I leave the floor open for interactive discussions. Mr. Narendra Mantri – our Chief Operating & Finance Officer, and Mr. Rajeev Goyal – Senior Vice President, they are with us, with me, and we are happy to take the questions from the investors.

Moderator:

We will now begin the question-and-answer session. The first question comes from the line of Sailesh Raja with B&K Securities. Please go ahead.

Jindal SAW Limited October 23, 2025

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Sailesh Raja : Thanks for the opportunity. So, we have an exports order backlog of 8 lakh tons which includes 6.2 lakh tons of job work. So, you mentioned during the call this is entirely for HSAW Pipe. Typically, our HSAW order are fully export oriented. So, should we understand that balance 1.8 lakh tons pertain entirely to LSAW or it will be a mix of both HSAW and LSAW, because if it is a mix then it appears that visibility of LSAW is quite limited. So, could you please give clarity on this?

Vinay Kumar: Okay, so let me answer the question in a different way. I am sorry, I could not fully understand the question, but let me answer the question in a high level so that it includes let us a couple of subsets of the question. So, in totality, we have, let us say in the five sectors we have order of 19,25,000 tons, and this includes exports of approximately 30% to 32%. Now, the helical pipe order for water connected to KSA is 6,22,000 tons which represents roughly, I think 12% or 13%. So, there are orders for export market for longitudinal pipe, for other helical pipes and even similar pipes. Why we mentioned this order separately is that this is an export order and this is a job work order. So, eventually in the job work order, we are not buying the steel only. Rest of the things are included in this. I mentioned in the briefing that in terms of margin, the margin are comparable to the export business of let us say helical or even longitudinal. So, we have order book for export, which is right, which is for every product.

Sailesh Raja: Sir, still it is not very clear. In the presentation you just mentioned that the 9 lakh tons that includes 6 lakh tons of job work, right, sir? Vinay Kumar: Yes.

Sailesh Raja Also in the presentation it is mentioned that the overall export order is 8 lakh tons. So, in this 8 lakh tons includes 6 lakh tons of job work.

Vinay Kumar: : Yes, correct. Sailesh Raja So, the balance is only 1.8 lakh tons. Vinay Kumar: Yes, which is, longitudinal, as well as some portion of Inland. Sailesh Raja And so, in this case, LSAW visibility is very less that is my question actually. Vinay Kumar: Oh, so you want to understand the rest of the quantity. Sailesh Raja I just wanted to know the visibility of LSAW pipe. Vinay Kumar: Okay, so, let us say very quickly, the longitudinal for export longitudinal is close to 1,15,000 tons for export purposes, which is oil and gas, and approximately 60,000 tons for export is for the tile and seamless.

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Sailesh Raja

Okay, got it, sir. My second question, if you see the gross profit to EBITDA conversion in this quarter it stands for 24% on the standalone basis because of lower volumes, our utilization level is very low at 3 lakh tons, so that is why it is low at 24%. But if you see last year we have done around 4 lakh tons and our conversion rate that is gross profit to EBITDA it is 40%. Assume that it is at normalized level we can do around 40%. Is there any scope to improve the conversion rate going forward both to mitigate the impact that we are seeing currently and also to enhance the financial metrics once the recovery begins, because if you see the competition, some of the competitors are reporting 45%, 48%, so is there any scope to improve this conversion rate?

Vinay Kumar:

Okay, good. So, let me respond in this way. Okay, if you see the last year we did was close to 2 million tons of sales, and we already have the order book of similar magnitude broadly. Correct? We have the capacity, we have the capability to execute the projects. I am talking about the standalone. We have the capability and capacity, and it has been already demonstrated, number one. Number 2, over the last 1.5 year time we have worked on increasing the capacity in seamless where the trial operations have started and we mentioned that the capacity would go up by another 1,50,000 tons. So, we would be ready in the future to take more business in seamless for oil, gas, and other industrial products. So, to answer your question in a way that these are the extraordinary circumstances and which we keep seeing after every three to five years’ time, if you remember 22-23 was a very challenging year when the commodity prices were going like anything, I mean, even the NSE, BSE are not going the way the commodity prices are going and the coking coal had moved from $150 to $500 and iron ore price had also moved accordingly. And again we had serious challenges in terms of managing the inventories and the business operations and financing and liquidity and everything. Today, the scenario is different primarily because of let us say liquidity which is controlled by the let us say the federal and the state governments where the orders are there, business opportunities are there, orders have been issued by the government or let us say the end user to the EPC or directly to us, but because of liquidity, I mean you will be hearing it from everywhere, because of liquidity there is a backlog. So, we can only speculate, but we understand from the market value that it might take a couple of months before the normalcy begins. Now, when the normalcy begins, presume, next year, so if everything works well, we might come back to what we were doing in the last two years rather we can improve it and I am seeing it from the perspective, the orders are there, there are enquiries, the capability is there in terms of manufacturing facilities, and we have invested and we are investing and we are doing a lot in terms of cost optimization and rationalization

Sailesh Raja

Okay, great, sir. So, one last question. So, after a gap of 10 to 12 months several state governments have recently announced large projects on 14th October, I think, Gujarat, they have announced 16,000 crores worth of order under the AMRUT scheme and also. I think two days back Andhra government also announced 10,000 crores of order and Odisha also I think four or five days back they have announced Rs.1,700 crores for river linking projects. So, are we participating in any of these projects, so what stage we are in bidding or qualification process, can you please explain that?

Jindal SAW Limited October 23, 2025

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Vinay Kumar: I will say that all these things are very recent, the tender will come in due course of time and definitely we will be participating in all these tenders. But again, from the announcement to the actualization we think there will be some time gap. That is why we are saying that the improvement from where we are currently will take some time. And at this point of time, I can only say that hopefully we will be doing better than the Q2 in Q3 and Q4.

Sailesh Raja Okay, sir. All the best, sir. Thank you. Moderator: Next question comes from the line of Praveen Agarwal with IVP Engineers Private Limited. Please go ahead. Praveen Agarwal: Yes, good afternoon, everyone, and once again Happy Diwali to all participants and executives of Jindal SAW. See, my question is, we have seen financial figures. How was the production in Q2 as compared to previous FY Q2, how did we increase or reduce or was it more or the same, how are production figures?

Vinay Kumar: Because of lower offtake, ductile iron or the water sector, we have controlled the production also, and that is why production was lower in Q2 as compared to Q1.

Praveen Agarwal: Okay, so you do not have things stockpiled in inventory. Lower offtake was met by reducing the production quantity?

• Narendra Mantri: No, I m not saying that inventory has not piled up, because the decision making takes a certain time to reduce. In fact, if you have seen our balance sheet, there is an increase in the inventory level, but this will be corrected in Q3.

Praveen Agarwal: Yes, I understand. And how this has affected cost per ton of pipe or material, your output in this Q2 vis-à-vis previous year Q2?

Narendra Mantri: Because of the cost only we have shown this kind of result. You can understand this. Praveen Agarwal: I understand. Fine. Okay, thanks. Moderator: Next question comes from the line of Radha with B&K Securities. Please go ahead. Radha: Hi, sir, thank you for the opportunity. So, my first question is that the 6 lakh tons of job work order, how much execution are you expecting in FY26? And your opening remarks suggested that margins in job work will be good. So, assuming current pricing scenario, is it fair to assume that at least 500, 600 crores of EBITDA can be done from execution of the entire 6.2 lakh tons of job work?

Jindal SAW Limited October 23, 2025

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Vinay Kumar:

Okay, to answer your first question, we should receive the first consignment of steel in next one or two weeks’ at our factory, number one. So, production would start in this quarterly itself, and we expect that in this remaining part of the financial year we should be producing close to 1,25000 tons to 150,000 tons and the shipment and the sale would depend on quoting and the availability of ships. That is one. In terms of EBITDA, we do not want to let us say put in exact number, but what we have said that the profitability based on the current estimate and based on the quote profit given because this includes the transportation cost also to the site of the buyer. The profitability would be similar to what we get in normal export orders. So, it will be better than the domestic business.

Radha: Okay. And for the working capital requirement of job work, is it fair to assume that it will be 20 to 30-days lower compared to manufacturing?

Vinay Kumar: No, so, basically, because it is job work, so steel is not being procured by us. We will only be procuring, only the quoting material. So, steel is not in our account. So, there will be no inventory on account of steel in this order. Radha: Yes, that is why I was asking that overall net working capital cycle should be at least 20 to 30 days lower compared to if we would have done manufacturing for the same quantity considering the inventory reduction, just asking? Vinay Kumar: In totality, yes, if you look from this perspective.

Radha: Okay, lower by 20, 30 days or much lower than this? Vinay Kumar: No, actually this will depend on how we are executing the order because we will be committing maybe initially one facility, subsequently second facility. Also, depending on how we are getting the consignment because the steel is being supplied by let us say the buyer. So, it is meaningless for us from this perspective that how much inventory would be there because inventory does not belong to us. But if we are saying that in overall in blended side whether inventory will lower as compared to the sale, it will be lower but the sales –

Radha: Yes, so overall working capital?

Vinay Kumar: Overall working capital you have to measure with something. So, if you are measuring the working capital with the sale, the sale will include only the job of charges, not the sale of the total pie.

Radha: Yes sir, I understand that. So, that is why hence it includes only the job work as is. That is why I am taking at least lower by 30 days because inventory will not be there, so is this the right understanding? Vinay Kumar: You can consider it.

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Radha:

Okay. Second question is, I want to appreciate despite the challenging situation the gross profit per ton on pipes has been good in this quarter, so I just want to appreciate because of the mix has been maintained by the company. So, with regards to this, until there is a revival in government CAPEX, are there plans or opportunity to export more of BI pipes from India either to the Middle East or to nearby regions?

Vinay Kumar: Okay, so see, we have a very different kind of, let us say, situation because we are already present in Middle East where we have a manufacturing plant in Abu Dhabi. So, what we focus on the export market from India are the products which are Abu Dhabi factory is either not producing or they are full in that particular site. So, for example, we already have an export order for the tile which is going to again MENA region but that is a size which our Abu Dhabi facility is currently not producing. So, we would be eventually not competing with our Abu Dhabi. We will be rather complementing that. Having said that, we are looking at various geographies across the globe wherever Indian pipes can go which are at this point of time are not subject to anti-dumping or whatever, so we are looking at all possible opportunities, that is the role of the marketing to see beyond their regular areas in the geographies. It always remains there, and that is why we get the order, and we have a better position because we can reach out from India as well as from our UAE operations.

Radha:

Okay, so, actually, I ask this because a follow-up question with this is that Saudi has started pro and anti-dumping duty on DI pipes from India. So, I just wanted to understand with respect to that what is the total demand of DI pipes in Saudi and what percentage of Saudi demand is being catered by imports overall and how much of it is coming from India?

Narendra Mantri: Okay, you are aware, that we have started working on putting up ductile iron plant in Saudi which is the finishing line, considering the demand there. You are right, that there is an anti-dumping investigation there. But again we have said, from India we are only supplementing our Abu Dhabi plant for the sizes where that plant is currently not in a position to supply. So, we will be either through our subsidiary or the sizes which are not in a position to serve through Abu Dhabi, we are focusing in Saudi only for those sizes. But other than Saudi, the GCC market and MENA market is much bigger, and we are trying to supply more on the export side for our ductile iron facility in India.

Radha:

What is the market size of GCC?

Narendra Mantri:

Actually it depends upon the MENA projects announced meant and we are hopeful say as far as the water pipelines are concerned, we expect a lot of work, all these countries are doing, so at present I do not have that figure currently with me that how much is the current demand or what are the new projects that is coming, but considering the market potential, we have announced not only the ductile iron facility but the helical pipeline also for pipe manufacturing plant we are putting up both the facilities there in Saudi. And you can see that one single order we have received from that country for 6 lakh tons for helical.

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Radha: Yes, sir, lastly for modeling purposes, wanted to understand how much CAPEX should we take for FY27 and FY28 from growth and maintenance?

Vinay Kumar: So, on Jindal SAW perspective, the maintenance CAPEX remains in the range of manner maybe Rs.600 crores to Rs.700 crores considering the various locations all across India, roughly 12 locations and things are moving on account of efficiency and debottlenecking. So, you can take roughly Rs.600 crores to Rs.700 crores annual maintenance CAPEX from Jindal SAW perspective.

Radha: And growth CAPEX sir? Vinay Kumar: So, growth CAPEX is something in India we are not looking for any growth CAPEX per se other than this seamless activity where we put that additional piercing line which is now under trial run. So, CAPEX would be over maybe in the coming quarter only. So, beyond that we are not looking for any growth CAPEX in India Jindal SAW. Radha: In the coming quarters? Vinay Kumar: So, in coming quarter as well as in coming years, FY27 and FY28, as of now there is no growth CAPEX on board.

Radha: Yes, I wanted to understand the bifurcation of this Rs.3,600 crores. How will it be divided between FY27 and FY28? Vinay Kumar: So, FY26, in general we are doing maintenance CAPEX in the range of Rs.600 crores to Rs.700 crores annually and if you are talking about the new growth CAPEX Jindal SAW perspective where all the three projects, two in Saudi, one in Abu Dhabi, that is something you can take broadly in ‘27 would be 42%, 50% and in ‘28, again 40% to 50% roughly based on our present estimates. Radha: Understood, sir. Sir last question. So, sir, in Oman project, as for the media articles, Jindal SAW has received 193 kilometers of pipeline project which is expected to be executed in the next 24-months. So, one is that, is it included in the current order book, and is it fair to assume that these are for the longitudinal saw pipes and we can do at least 50 crores of EBITDA from this project? Narendra Mantri: So, this order has yet not been finalized to our understanding. These discussions are going on. Radha: Is this for LSAW sir? Vinay Kumar: It will be the primarily LSAW but there could be a mix also. Radha: Okay sir.

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Vinay Kumar:	But it is not finalized. It is not included in our order book.
Radha:	Understood, sir. Thanks and all the best to you.
Moderator:	Next question comes from the line of Rajesh Agarwal with Moneyore. Please go ahead.
Rajesh Agarwal:	This quarter margins have come down. Is it because of volume or there is any other one off?
Vinay Kumar:	The margins primarily a function of let us say the production quantity as well as the cost because the
	overall production and the sale remain low, so eventually absorption overheads and all those things,
	so margins are low accordingly. While we believe that this quarter onward situation should improve,
	that is in terms of overall business as well as profitability.
Rajesh Agarwal:	So, this quarter, the margins also will come back to the old margin?
Vinay Kumar:	No, so that will be a gradual thing because the fall can be sudden, but the improvement will be
	gradual.
Rajesh Agarwal:	Okay, it is not because the job work has lesser margins, no?
Vinay Kumar:	Come again, sorry.
Rajesh Agarwal:	The job work does not have lesser margins than the production margins, na?
Vinay Kumar:	No.
Rajesh Agarwal:	Okay, the margins are the same. And second, how is the outlook for the DI pipes in India? The old
	payments are getting released and any new tenders?
Vinay Kumar:	So, as you can see that we mentioned that our capacities in India are booked for a year, practically
	we have order book of approximately 7,50,000 tons and we have a capacity of approximately 7 lakh
	tons. Orders are not in problem. The problem is like, the liquidity issue because it is a supply chain.
	We are the last person in the chain. We supply to EPC or directly to the government. 80% of our
	business is through EPC. Now EPC is waiting for the money for almost one year, and that is where
	their business also goes through. Now eventually the state governments are working through. Let the
	state start releasing the funds to the EPC and to the let us say the pipe suppliers. It will be a gradual
	process. As we said, look, as we believe the disbursement of 40,000 50,000 crores will not happen
	immediately, but now the business will start and with some hiccups back and forth we can believe
	that maybe in two- or three-months’ time the business might come towards normality.

So, can you quantify the dues from the EPC contractors, how much -?

Rajesh Agarwal:

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Vinay Kumar: 80%, 90% business is through the EPC. I mean, we do not have the numbers right now for the receivables and all, but 80%, 90% business is through the EPC, and that is the norm world over. Rajesh Agarwal: And sir, how is the outlook for the oil and gas in the Middle East, Abu Dhabi and Saudi? Vinay Kumar: Okay, so there are two things. One is the scenario of oil and gas. Second is the scenario of the pipe business for oil and gas. Typically, the oil and gas business is a regular business for the Middle East world over. The issues relating to India buying from Russia, production cost, going up and down, it really does not impact the pipe business very significantly because pipe is the last thing when somebody is announcing the new pipeline. So, this does not impact the pipe business very significantly. It could impact let us say if the oil producing countries are becoming cash deficient, they may defer their CAPEX which happened I think 5 or 6 years ago, but at present they are making decent amount of money by the sale of the oil which can improve further. So, there is no impact on the new pipe demand. The only thing is how they are planning the new pipelines and when these orders are coming in, secondly now everybody is focusing on the indigenization, and they might be in maybe two, three, four years down the line they would ask the global investors and all to put up the facility in their countries. So, there will be a paradigm shift in the next three to five years’ time globally. Rajesh Agarwal: Okay. So, the imports will not come to the Middle East, you are filling the Saudi and all, so you will have EBITDA opportunity? Vinay Kumar: The imports will happen, but gradually this will reduce, and that is where the producers have to let us people like us or others they have to focus like if they, if you have to be in the market then you be present there also or you lose that market. Rajesh Agarwal: So, our growth CAPEX which we announced for the three projects that will continue as usual, or there is a thing over it? Vinay Kumar: No, sir, as of now what we have announced in the last six months’ time is one project for seamless pipe in Abu Dhabi. One project of helical pipe which is for primarily for water sector is in Saudi. And the DI finishing facility only because we have a full-fledged DI plant in Abu Dhabi. So, to sell in the domestic Saudi market we are planning to do finishing there. So, as of now these three projects have been announced and we are working on that. Rajesh Agarwal: So, means of finance, how will this cash flow will be met? Vinay Kumar: These projects will take two to three years time to let us say set up because these countries are very slow in terms of doing the things. And we mentioned that close to let us say $400 or $425 million in all put together for that project where the equity would be approximately 30%, in one or two small, small projects we have a joint venture partner, in totality we may require only $100, $120 million

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equity over the next three years time. The rest will be the debt on project which will be from the local market.

Moderator: Thank you, Mr. Agarwal. Please rejoin the queue for more questions. Next question comes from the line of the Shweta Dikshit from Systematix Group. Please go ahead.

Shweta Dikshit:

So, a couple of questions from starting with the seamless plant, we have started trial productions. Any outlook or guidance that what is going to be the quarterly number for 3Q and 4Q which we are looking at and what is likely going to be the capacity utilization over ‘27?

Vinay Kumar:

So, Shweta, in terms of seamless, we did roughly 2 lakh plus in FY25, and, by putting up another piercing mill we would be able to increase the production capacity roughly 1.5 lakh tons additional. So, from Q4 onwards we can see annually the production levels may increase from 2 lakh plus to 3,50,000 something. So, that is something which you may see numbers in the coming quarters.

Shweta Dikshit:

So, that is, roughly if you look at I mean the quarterly run rate still comes to be around close to 90,000 tons of run rate that we are looking from 4Q onwards?

Vinay Kumar:

Yes.

Shweta Dikshit:

Secondly, on the new projects that are announced for the MENA region, I do understand you said that there have been regulatory delays in this region, but, any part of the CAPEX that has already been spent or what is the status of these projects exactly?

Vinay Kumar:

In terms of amount spend, as of now we are in the process of identification of the vendors and land acquisition and all. So, not much amount has been spent if we let us say as at 30th of September, hardly anything. Okay, that is one. When we say that these territories take time primarily because of not many things are well defined as compared to the other countries even including India. And we have experience of setting up a project in Abu Dhabi. We include certain delays in our execution cycle and that is why we say like the project can be executed in a period of two to three years’ time. So, having said this, these things have been factored. Working is being done on parallel basis in terms of joint venture agreements. We have started finalizing those in terms of land identification so that that is a long lead item in terms of identification of the vendors, we are in the process of incorporating the company. The moment the companies are incorporated bank out through fund we can start placing the orders. All these things are happening. So, I believe that by the end of this financial year, which is March ‘26, we would be in a position to let us say, place the order for the equipment, the company would have been incorporated, land would have been acquired because everywhere these are leasehold land unlike in India where you have the fee-hold. So, broadly from there you add let us say two years plus when the production can start. So, starting ‘28-29 we can have some operations in the seamless facility as well as in the helical facility. Ductile can start earlier because that is only a finishing facility.

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Shweta Dikshit: So, my question again comes back to the point when we talk about the seamless that is existing that we are doing, even being a Brownfield expansion has taken quite some time and then a similar project of the same scale setting it up in a Greenfield capacity, it seems unlikely to be in fact operationally contributing in FY’28?

Vinay Kumar: So, I said that ‘27, ‘28 is the period of implementation. So, nothing will come in FY28 because in ‘26 we are completing. So, right, ‘28, ‘29 also there we expect that partial operations can start in seamless and in helical. Now to answer your question because these are the Greenfield projects for this so like Greenfield projects can be actually faster in terms of implementation because in the Brownfield project where we are doing expansion and all you have to do a lot of accommodation within the same premises and doing all those things. So, it is let us say adding a floor in a new house. So, adding a floor is more complicated rather than making a new house. So, having said all the things, we do not expect any contribution from even sale or profitability from seamless and helical in ‘28. In ‘28, ‘29 we can expect some production and contribution. I mean profitability, we cannot count right now. Secondly, in case of seamless, there will be a process of approvals and accreditations from the different authorities and the buyers and all. So, that is also a process which we have to count. In case of helical, it might not be an issue.

Shweta Dikshit: The certification and approvals would run parallely, or would it be after -? Vinay Kumar: Yes, it can only initiate after the trial run has started because the product will go into the approval and it is a process and unlike the ductile when you have let us a huge market in this case there will be very handful of the customers. So, the government approval, the standards approval and the approval by the potential buyer. So, this process will be parallel the moment the production commences.

Shweta Dikshit: And what can be the typical approval cycle here? Vinay Kumar: It is difficult to say, because for this territory we will be doing the seamless for first time, but I mean if we hazard let us say it could take three to six months’ time or will be more.

Shweta Dikshit: Just your thoughts on this thing that Saudi initiating the anti-dumping investigation on imports of the air pipe from India. This is something which all the companies, at least the domestic producers, have been very positive about it. There is a lot of demand from that region. Now what is the internal capacity over there? Is there a risk to this business from the overall industry perspective? What has been the reason why such a –

Vinay Kumar: Let me answer in a different way. Currently the domestic ductile capacity in Saudi is not much. Okay? So, there are only two haling plants. But having said that, both the haling plants have some let us say stake from the government. The governments of course will try to protect them. Secondly is that the Saudi government want that the manufacturing and the in-country value addition should

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happen in Saudi. So, like they are following the Indian Prime Minister, they are following Trump, so they want like you should do production in Saudi and there are norms which they are setting up for the in-country value addition. So, we will mark for that and gradually they would reserve the domestic production facilities for giving a right of first refusal, giving protection for the tariffs, giving protection for pricing and all those things. It is a process which is happening in almost all the industries. Now we would not like to comment on the let us say the initiation of the anti-dumping duty because we are a producer in Abu Dhabi, so we would not like to comment on that matter primarily because as you say that there are Indian exporters to that jurisdiction. So, we will refrain ourselves from commenting on that matter because we are an interested party, we are supplying pipe from Abu Dhabi to Saudi, but Saudi has good potential for overall water sector including the ductile pipe, including the helical pipe and other pipes because geographically they are expanding everywhere within Saudi.

Narendra Mantri:

And currently we are not selling much in Saudi market from India.

Moderator:

Thank you, Ms. Dikshit. Please rejoin the queue for more questions. Next question comes from the line of Bhavik Shah with Invexa Capital. Please go ahead.

Bhavik Shah:

My first question is, so we saw a decline in volumes in the current quarter, and it is mainly said due to the DI volumes being decreasing in domestic. So, what gives us confidence in the next two quarters this volumes will pick up -- have you seen any traction over there?

Vinay Kumar:

Let us divide the question in two parts. One is quantity, second is the price and the profitability. So, there are basically some demand had started coming back from the domestic buyers albeit it is a lower as compared to a regular demand and where the discussions are happening that when the pipe can come and what would the current terms and the pricing. So, this is basically opportunistic scenario for the buyers where they are trying to let us say renegotiate some of the positions. Now, state governments have been asked to arrange the funds and let us say start making the payments. So, state governments are making their own arrangements from the different multilateral and domestic institutions. So, this is where basically we believe that the things are on improvement. The profitability in the last quarter like it took a hit. The profitability can start improving from here, but as I said, because the profitability has come down from let us say about 15%, 16% to let’s say in the range of 10%. The improvement will be a gradual process. Good part is that we are a multi-product company. So, if there is a problem in one product, the other product is taking care of, and this is kind of a hedge what we have. But in the last two years we saw that all the cylinders were firing, this year one or two cylinders having a challenge. So, once the situation will start improving, we hope that we will come back to the same scenario, but it will not be in one, two or three quarters.

Right. And so when we say our order book is of Rs.19 lakh crores of which Rs.7.5 lakh crores you said is of DI pipes. So, this order will get only executed as and when the payments get released. So,

Bhavik Shah:

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like, ideally what should we take as the execution timeline of this order book, like when can we see this order book getting executed?

Vinay Kumar: Okay, so, basically the total order book for pipe right now is close to 19,25,000 tons, in which the tile is approximately 750,000 tons. Now if I invite your attention to like what we were doing last year FY25, FY25 first six months we sold close to 3,30,000 tons ductile pipe, right? So, and like this is and that is the time when the Satwana facility had just started. So, today we are capable, but if everything is well, we collect money on time, everything is there, we believe that we can do even more than 7 lakh tons of production and sale in India from all of our three blast furnaces. So, the capability and capacity is there which we have demonstrated in the past. Now, the only thing is that we do not want to sell when we do not have conviction of collecting in time. So, eventually every buyer is also having the same problem because they do not want to do additional work for them, let us say the corporations or those unless they are paid for their old running bills. So, this has become a bit vicious and this is getting sorted out, but as you know like because a lot of the chaos has happened in this process, so it will take time, for let us say settlement of the invoices of their bills, and then they are making payment to us and then they have to actually start working for the new project. So, traffic jam will be there, will take time to clean up.

Bhavik Shah: What is the one-time write off which you have taken in GIS? What my understanding was we have already written that off and no cash outflow will be happening, right? Vinay Kumar: So, this write-off, see, we are showing the competitive numbers, we are referring to our presentation which we have uploaded. This was I think ‘23, ‘24, not in this year. This year there is no write-off and even last year.

Bhavik Shah: Okay, this year there is no write-off? Right. Okay. And so we stay off the job work, we will actually only recognize revenue to the extent of conversion, right? We will not take the entire revenue and entire cost of goods sold, so our actual increase in revenue will not be much, right?

Vinay Kumar: Yes, so the total order value for this job work is let us say close to $180 million, $190 million, so only that will be the income in the top line.

Bhavik Shah: Okay, understood, sir. And so, regarding the CAPEX, you told Rs.600 crores to Rs.700 crores will be CAPEX for FY26. So, sir, this is the consolidated CAPEX, right? This will include investments in subsidiaries in Saudi and places, right? Vinay Kumar: No, so this is standalone and the CAPEX for the subsidiaries in Saudi and in UAE will be on the top of it in the current year as we mentioned for the earlier question up to September there is no meaningful amount which has been spent. We will see that what we can do in the next six months’ time, which will be let us say some advances to the suppliers, some letter of credit to open, and some civil work. This year we do not expect much, maybe $20 million, $30 million but next two years will

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be happening here, but that will be on the top of what we mentioned Rs.600 crores, Rs.700 crores which is only for Jindal SAW India standalone primarily because we have 12 facilities, we are trying some upgradation, modernization, some capacity improvement, bottlenecking, so everything we are doing in parallel so that the impact should be seen when the situation improves.

Bhavik Shah:

The next year CAPEX will be much lower, right?

Vinay Kumar:

I think next year also will be in the similar vicinity, but after that you can expect much lower CAPEX in India because every day you cannot have the same maintenance CAPEX and also as per our accounting, the ductile molds are also part of these CAPEX which is actually not the CAPEX, but this is how the accounting is done because utilization or consumption, the mold is like-based. So, this also includes the molds which are used for pipe making for all across three locations in India.

Moderator: Thank you. Ladies and gentlemen, that was the last question for today. Due to time constraints, we have reached the end of question-and-answer session. I would like to hand the conference over to Mr. Vikash Singh for closing comments.

Vikash Singh:

On behalf Of ICICI Securities, I would like to thank Jindal SAW management for giving us the opportunity to host the call. I hand over to Mr. Vinay Kumar for his closing remark.

Vinay Kumar:

Yes, thank you very much, Vikash and Chorus and to all the participants on this call. We hope to see you in the new year FY26 for the next quarter’s meeting unless there is another announcement prior to that. Thank you very much for attending the call.

Narendra Mantri :

Thank you.

Moderator:

Thank you. On behalf of ICICI Securities Limited, that concludes this conference. Thank you for joining us. You may now disconnect your lines.