Analysts/Institutional Investor Meet/Con. Call Updates

Great Place Worki Certified' CA-17(44)72026-27 1'^ August, 2026 The General Manager( MO) The Asstt. Vice President Bombay Stock Exchange National Stock Exchange of India Ltd. Through BSE Listing Centre Sub: Transcript of conference call held with Analysts & Tnvestnrs nn 28 July. 202^ Rcf- Regulation 46 of SEBKLODR)R egulations. 2015:( Security ID:SATL). Dear Sir, This is in continuation to our letter No.CA-17(44)/2026-27 dated 28^'' July, 2026, intimating the link to the Audio Recording of the Conference Call held on 28"" July' 2026. Transcript of aforesaid Conference Call is attached herewith. Thanking you, Yours faithfully, For Steel Authority of India Limited (M.B.Balakrishnan) ED(F(feA) & Company Secretary End: As above WT, 110003, : 011-24367481-86 : 011-24367015 www.sall.co.in Steel Authority of India Limited, Ispat Bhawan, Lodhi Road, New Delhi 110003, Phone :0 11-24367481-86 Fax : 011-2436 7015 Website : www.sail.co.in SAIL PAN No. AAACS7062F SAIL Corporate Identity Number: L27109DL1973GOI006454 There's a little bit of SAIL in eire/ybody's life “Steel Authority of India Limited Q1 FY27 Earnings Conference Call” July 28, 2026 MANAGEMENT: MR. ASHOK PANDA – CHAIRMAN, MANAGING DIRECTOR AND FINANCE DIRECTOR – STEEL AUTHORITY OF INDIA LIMITED MODERATOR: MR. ASHISH KEJRIWAL – NUVAMA WEALTH MANAGEMENT Page 1 of 17 Steel Authority of India Limited July 28, 2026 Moderator: Ladies and gentlemen, good day, and welcome to the Q1 FY27 Earnings Conference Call of Steel Authority of India, hosted by Nuvama Wealth Management. 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 this conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Ashish Kejriwal from Nuvama Wealth Management. Thank you, and over to you, sir. Ashish Kejriwal: Thank you. Good morning, everyone. On behalf of Nuvama Institutional Equities, we welcome Dr. Ashok Panda, Chairman and Managing Director with additional charge of Director of Finance of Steel Authority of India along with his team. I would request Dr. Ashok Panda to give his opening remarks, and then we can open the floor for Q&A. Over to you, sir. Ashok Panda: Thank you very much, Mr. Ashish Kejriwal. Good morning, everyone. I welcome all our investors and analysts who are joining this results con-call for the financial year of SAIL for the period quarter 1 '26-'27. Though I'm sure most of you might have already seen the results on the website of the company and through stock exchanges, I would briefly run through the same for the benefit of the house. When we look at the economic scenario globally, the period was impacted adversely by the geopolitical situation in the Middle East. Not only did it impact the supplies of fuel across the globe, it also affected the supply chain for inputs like limestone, etcetera. And even it also affected to some extent, like the gas supplies, propane, etcetera, for the steel industry. On the other hand, the rising fuel cost led to inflationary pressures against raising the various expenditure heads. However, notwithstanding the projections for India also remain range bound between 6.4% to 7.2% by various agencies over the next 2 years. So far as Indian steel scenario is concerned, the landscape for the steel industry is highly influenced by economic trades, trade policies and technological advancements. Indian steel industry, however, continues to enjoy robust demand for steel with consumption during quarter 1 '26-'27, which has grown by more than 8% over CPLY. The production, however, showed a muted slightly lower growth of around 3% during this year -- during this quarter '26-'27. Due to higher growth in imports as compared to exports, there was increase in imports as well as increase in exports and the net import for quarter 1 '26-'27 was to the tune of Page 2 of 17 Steel Authority of India Limited July 28, 2026 around 0.4 million to 0.5 million tonnes as against maybe 0.3 million tonnes last year quarter Now let us have a look at -- briefly look at the company performance for quarter 1 '26-'27 performance of Steel Authority of India Limited. Before highlighting the performance of the company during quarter 1 '26-'27, I would like to inform the house that owing to the circumstances that prevailed and the threat that loomed at large, SAIL decided actually to advance some of its major capital repairs during quarter 1, so that it will be free after that and will start producing better in the next quarters. Mostly, we had major capital repairs in IISCO Steel plant, Durgapur Steel Plant and also Bokaro Steel Plant, which were done in quarter 1 by design. So that is the story about this quarter 1 compared to last quarter 1. While this impacted the production volumes as per design, but then ultimately, it helped us in some of the things and which led to a good profitability going forward. Coming to the performance of the company during quarter 1 '26-'27, the highlights are as follows. Crude steel production stood at 4.8 million tonnes in quarter 1 '26-'27 as against 4.9 million tonnes CPLY. This reduction is because of the capital repairs which have been advanced in this quarter 1 by design. Sales volume was 4.2 million tonnes, which fell by around 7% to 8% as compared to the previous year. And there was increase in inventory by around 0.2 million tonnes in the finished goods. The company, however, remains very much committed towards increasing its sales volume, including inventory liquidation in the balance period of this year as we've done last year as well and also will be -- our endeavor will be to reduce the working capital borrowings. And when we look at the borrowing position as on 30th June 2026 at the end of this quarter, we are almost at the same level as that of the beginning of this year in spite of the fact that the inventory has increased by 0.2 million tonnes. On the back of better realizations, sales turnover increased by well over 1% as compared to previous year quarter 1. Despite significant increase in prices of major inputs like coking coal and fuel, limestone, the company was able to improve its profitability through measures towards operational efficiencies, better financial management and treasury management during this period of quarter 1. EBITDA at INR4,356 crores showed for quarter 1 '26-'27 has a growth of more than 50% as compared to CPLY figure of INR2,925 crores. EBITDA margin at 16.7% is one of the best since '21-'22, when the steel market at that time was at its peak and coal price was at its bottom in '21-'22. EBITDA per tonne also crossed a benchmark figure of INR10,000 per tonne and stood at INR10,464 per tonne in quarter 1 '26- '27. While talking about PBT and PAT, PBT and PAT stood at INR2,159 crores and INR1,636 crores in quarter 1, respectively, as compared to INR890 crores and INR685 crores, respectively, for CPLY period with a growth of around 150%. Page 3 of 17 Steel Authority of India Limited July 28, 2026 As mentioned earlier, the cash outflows were managed smartly through better treasury management efforts which helped to keep the borrowings under check. And this is -- this stood at INR21,729 crores as on 30th June, which is almost at the same level of -- the level as on 1st March 2026 was INR21,663 crores. The debt equity ratio was further reduced to 0.36 on actual basis at the end of quarter 1 '26-'27. Going forward, while Q2 has traditionally been a toughest quarter for the steel industry because of the rain, incidence of rain, etcetera, but efforts are being made not to increase our inventory during quarter 2. And after that, our efforts will be to reduce inventory in quarter 3 and quarter 4 so that on a yearly basis, there will be inventory reduction. We will continuously stri [Showing first 8,000 characters — download PDF for full document]