MSP Steel & Power Approves Expansion Capex and Releases Audited FY Results for FY 2025-26
MSP Steel & Power Limited announced on May 30, 2026, that its Board of Directors approved a significant capital expenditure program for the expansion of its integrated steel manufacturing facilities located in Raigarh, Chhattisgarh. The company also released its audited Standalone and Consolidated Financial Results for the fourth quarter and the full fiscal year ended March 31, 2026.The expansion initiative is designed to enhance production capacity, improve operational efficiencies, and strengthen integration across the steel value chain. The project is expected to meet the growing demand for the company's steel products.
Financial Highlights for FY 2025-26
The company’s financial performance for the year ending March 31, 2026, was submitted alongside the audited financial results.Key financial comparisons for the year (in Lakhs ₹) are detailed below:
| Financial Metric | Year Ended March 31, 2026 (Audited) | Year Ended March 31, 2025 (Audited) |
|---|---|---|
| Total Income | 2,84,603.55 | 2,90,882.80 |
| Total Expenses | 2,76,797.85 | 2,90,661.84 |
| Profit before Tax (Consolidated) | (2,365.38) | 256.24 |
| Net Profit (Consolidated) | 3,377.10 | (2,835.94) |
| Total Comprehensive Income (Consolidated) | 3,568.90 | (2,667.78) |
(Note: Consolidated financial figures are presented in lakhs ₹.)
Balance Sheet Snapshot
The consolidated financial position shows the company's total assets and liabilities on March 31, 2026, compared to the previous year.| Category | As on 31.03.2026 (Audited) | As on 31.03.2025 (Audited) |
|---|---|---|
| Total Assets | 1,72,756.73 Lakhs ₹ | 1,53,493.17 Lakhs ₹ |
| Total Equity and Liabilities | 1,72,756.73 Lakhs ₹ | 1,53,493.17 Lakhs ₹ |
| Paid up Equity Share Capital | 56,679.66 Lakhs ₹ | 56,679.66 Lakhs ₹ |
| Other Equity | 46,341.57 Lakhs ₹ | 41,222.38 Lakhs ₹ |
Proposed Expansion Program Details
The Board of Directors approved a major capital expenditure program for expanding the company’s existing integrated steel manufacturing facilities at Raigarh, Chhattisgarh.The proposed expansion involves increasing key production capacities:
| Product | Existing Capacity | Proposed Capacity (approx.) |
|---|---|---|
| Sponge Iron | 5,45,000 MT | 2,04,000 MT |
| Billet | 5,77,000 MT | 2,17,800 MT |
| Rolling Mill | 4,80,000 MT | 2,00,000 MT |
| Power Plant | 87.5MW | 22MW |
The total investment required for the expansion is approximately ₹500 Crs. The financing model involves a mix of debt and internal accruals/promoter contribution. The implementation is planned in phases.
Utilization of Funds Raised
The company confirmed that the use of funds raised via a preferential issue of convertible warrants has not deviated from the original objects.The funds relate to the General Corporate Purpose: Modernization and maintenance of plant and machinery, including refurbishment, replacement, upgradation, repairs, and maintenance of plant and machinery.
The financials concerning the utilization of funds raised are summarized as follows:
| Fund Use Category | Total Amount (INR Crores) | Upfront Subscription Received (INR Crores) | Amount Utilized up to March 31, 2026 (INR Crores) |
|---|---|---|---|
| Unsecured Debt Repayment | 98.0 | 24.50 | 22.84 |
The company confirmed that the upfront subscription money received was ₹24.50 crores, and the utilized amount as of March 31, 2026, stood at ₹22.84 crores.
Cash Flow Summary
The Consolidated Statement of Cash Flows shows the company generated ₹14,818.83 Lakhs ₹ in net cash from operating activities for the year ending March 31, 2026, compared to ₹18,928.16 Lakhs ₹ in the previous year.| Cash Flow Component | Year Ended March 31, 2026 (Audited) | Year Ended March 31, 2025 (Audited) |
|---|---|---|
| Net Cash from Operating Activities | 14,818.83 Lakhs ₹ | 18,928.16 Lakhs ₹ |
| Net Cash used in Investing Activities | (5,762.77) Lakhs ₹ | (3,383.14) Lakhs ₹ |
| Net cash used in financing activities | (9,011.23) Lakhs ₹ | (17,751.14) Lakhs ₹ |
| Net Change in Cash and Cash equivalents | 44.83 Lakhs ₹ | (2,206.12) Lakhs ₹ |
MSPL Stock Price Movement
On Friday, shares of MSP Steel & Power Limited edged higher to close at ₹42.72, gaining 0.19% on the previous day's trading session. The stock finished on robust volume of 1.85 million shares, maintaining upward momentum toward its 52-week high recorded at ₹44.00.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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