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JSW Steel Limited Investor Presentation October 2015

2

Agenda

Overview Value Proposition Performance Overview

Business Environment

3 * Listed company

** USD/ ` = 65.7418 (RBI reference rate as on Sep 30, 2015)

JSW Group – overview

USD 11 billion group with presence across the core sectors

JSW Steel 3,270

JSW Energy 2,350

As on Sep 30, 2015

Group market cap ($5,620 mn**)

Cash Profit= PAT + Depreciation All figures are in USD millions USD/ ` = 62.5908 (RBI reference rate as on Mar 31, 2015)

JSW Group FY 2014-15

Gross Turnover: 10,782

EBITDA: 2,165

Profit after Tax: 520

Cash Profit: 1,221

JSW Steel*: India’s leading integrated steel producer (Steel making capacity: 14.3MTPA)

JSW Energy*: Engaged across the value chain of power business (Operational plants’ capacity: 4,531 MW)

JSW Infrastructure: Engaged in development and operations of ports (Operational capacity: 33MTPA)

JSW Cement: Manufacturer of PSC, OPC and GGBS cement (Operational plants’ capacity: 6MTPA)

4

JSW Steel – India’s leading steel manufacturer

Leading steel manufacturer

in India

Integrated manufacturing

process

Diversified product portfolio

Strong distribution network and

export presence

Global presence

Technological competence

Combination of state-of-the-art steel making technologies: Corex, DRI, Blast Furnace

International presence in mining assets (Chile, US and Mozambique) and value-added facilities (Plate and Pipe mill in US)

Integrated steel manufacturing facilities – from raw material processing plants to value-added product capacities

Installed capacity 14.3 MTPA, at six strategic locations in South and West India

Pan India marketing and distribution network, export presence in ~100 countries across the 5 continents

Extensive portfolio of products – HR, CR, galvanized/galvalume, pre-painted, tinplates, electrical steel (CRNO) TMT bars, wire rods, special steel bars, rounds and blooms

5 (1) Calculated as consolidated EBITDA / Saleable steel, (2) From 31st March 2002 to 31st March 2015,

(3) USD/ ` = 62.5908 (RBI reference rate as on Mar 31, 2015)

Transformational journey to market leadership

Unrelenting progress through the economic cycles

FY 2002 FY 2010 FY 2015

CAGR FY’02–15: 30% Revenue (USD mn)

277 3,114 8,463

CAGR FY’02–15: 31% EBITDA

(USD mn) 45 664 1,502

CAGR FY’02–15: 18% FY 2016 expected capacity of 18MTPA

Capacity (MTPA) 1.6 7.8 14.3

Significant value creation with 42x increase in market value(2)

Market Cap (USD mn)

84 3,693 3,501

Adopting industry leading technologies Technology Corex Corex, BF Corex, BF, DRI

CAGR FY’02–15: 19% Production (MTPA) 1.3 6.0 12.6

Continuously expanding product canvas with focus on high-end value-added products

Product Mix Flats Flats, long, special

steel and value added

Flat, long, special steel & high value-added auto grade

CAGR FY’02–15: 10% EBITDA/ton(1)

(USD/ton) 35 116 125

6 (1) Southern Iron and Steel Company, (2) Amba River Coke Limited

Combination of Organic and Inorganic growth

2002

1.6 MTPA

2005

2.5 MTPA

Color Coating Line

Acquired EURO IKON

2007

4.8 MTPA

CRM of 1.0 MTPA

Acquisition of Plate and Pipe Mill in US

Coal mining concessions in Mozambique

2008

Iron Ore mines acquired in Chile

2009

7.8 MTPA 2006

3.8 MTPA 2010

JSW-JFE Strategic Partnership

3.5 MTPA of HSM II

Coal mining concessions in US

2011

Acquisition of 49.3% stake in Ispat 2012

HSM II Capacity Expansion to 5 MTPA 2004

Acquired SISCOL(1)

2013

14.3 MTPA post Ispat merger

FY2016/17

18 MTPA

2014

New CRM2—Phase I

4 MTPA—Pellet Plant(2)

1 MTPA—Coke Oven Plant(2)

Acquired 50% stake in Vallabh Tinplate

Acquired Welspun Maxsteel

Key Projects in progress/pipeline:

Dolvi Works capacity expansion to 5MTPA

Vijayanagar Works capacity expansion to 12MTPA

Salem Works capacity expansion to 1.2MTPA

0.2MTPA Tin plate mill at Tarapur Complex

Continuously evaluating opportunities to deliver value enhancing growth

2015

New CRM2—Phase 2

0.2MTPA Electrical Steel Mill

7

One of the largest FDI in the Indian Metals and Mining space – Equity infusion by JFE of `5,410 Crores (~$1.2 bn) for 14.99% equity stake

Deleveraged Balance Sheet to support next phase of growth

Access to cutting edge technologies and fast growing automotive steel market

Operational excellence to result in cost reduction

JSW – JFE strategic partnership

JSW Steel:

Focused expansion plans in India

Optimized capital structure through deleveraging

Access to cutting edge technologies

JFE:

Presence in growing Indian market

Future growth through equity participation

Strategic production base in India for existing automobile customers

Benefits to JSW Steel:

Access to fast growing auto steel market

Short learning curve

Application engineering

New product development

Benchmarking and personnel training

Operational excellence and cost reduction by:

Improvement in quality, productivity, yield , and energy efficiency

Sharing best maintenance, environment management, and safety practices

Benchmarking, training and talent sharing

Standardization of processes

Value creation for both the partners Automotive technology agreements General technical assistance

agreements for sustainable business operations

8

Balanced corporate strategy

Selective

Growth

Diversification of Product Profile and

Customer Base

Focus on Resource Optimization

Strengthening Backward and Forward Integration

Prudent Balance Sheet Management

Maintain market share of 14-15% through selective organic and inorganic growth

Undertake brownfield expansions at low specific investment cost per ton

Consider inorganic opportunities that are value accretive

Increase proportion of high margin value-added products

Diversify customer base, both within India and abroad

Continue to focus on rural markets in India

Committed to sustainable and eco-friendly technologies to drive growth

Focus on cost reduction and energy efficiency

Continue to evaluate raw material assets in India and abroad to secure key raw material supplies and to reduce cost of production by targeting strategic tie-ups and investments

Continuously seeks to improve financial profile

Manage capacity expansion and debt profile to capture market opportunities without excessive risk

9

Strong and balanced Board comprising experts of eminence & integrity

Savitri Devi Jindal

Sajjan Jindal Chairman & Managing Director

Seshagiri Rao M.V.S Joint Managing Director & Group CFO

Dr. Vinod Nowal Dy. Managing Director

Jayant Acharya Director (Commercial & Marketing)

Naveen Raj Singh Nominee Director of KSIIDC

Kyoichi Kameyama Nominee Director of JFE Steel Corporation

Kannan Vijayaraghavan, FCA and Certified Management Consultant

Dr. Punita Kumar Sinha Former CIO at The Asia Tigers Fund

Uday Madhav Chitale Senior Partner at M/s. M.P. Chitale & Co., Chartered Accountants

Dr. Vijay Kelkar Ex Finance Secretary, Ex Secretary of MoP&G, Ex Chairman Finance Commission

Malay Mukherjee 40yrs of rich experience in mining and steel industry

Executive Directors Independent Directors Nominee Directors Chairperson—Emeritus

Promoter Director

Board fundamentally committed to sustainable business

Haigreve Khaitan Senior Partner at M/s. Khaitan & Co, India's one of the oldest and full service law firm

10

Agenda

Overview Value Proposition Performance Overview


11

A platform of strength and agility

1 Strong fundamentals to boost India steel demand

2 Multi-location manufacturing facilities in India

3 Strategic overseas presence

4 Diversified product profile

5 Domestic market leader with strong export presence

6 Strong sales and marketing platform

7 Focus on operational efficiency

8 Strategic expansion aided by strong project execution

9 Proven ability to acquire and turnaround assets

10 Robust financial profile

12

(200)

0

200

400

600

800

1,000

1,200

1,400

0 10,000 20,000 30,000 40,000 50,000 60,000 70,000

(1) Reserve Bank of India, (2) World Steel Association, World Bank, IMF, (3) World Steel Association, (4) 12th Five-Year Plan (India), (5) IHS Automotive, (6) Bubble size represents total steel demand of respective country

1

5.1% 6.9% 7.3% 7.5%

FY13 FY14 FY15 FY16E

Decisive mandate in India general elections

Strong investor confidence and raised expectations of fast-paced decision-making and economic reforms

China

India Brazil

Mexico Russia

Taiwan

Italy

Japan

South Korea

France

Canada

Germany

USA

Strong fundamentals to boost India steel demand

Upturn in overall GDP growth(1)

• (%)

Infrastructure sector is a key focus area for the new government

Infrastructure investment expected to reach ~$1 trillion during 2012-2017(4)

New government is focused to give impetus to infrastructure sector

Automobile sector expected to turn around

India projected to become 3rd largest automotive market in the world by 2016(5)

Faster economic growth and government's policies is likely to drive volumes and revive the automobile sector

With the growth in economy, JSW Steel is well positioned to be part of the India growth story

India steel consumption to rise at a faster rate

o India’s steel consumption was 76MT in 2014 and is expected to rise to ~82MT in 2015 and ~88MT in 2016(3)

Potential for substantial growth in steel consumption(2)(6)

o World Per Capita Consumption is ~225 Kgs. o India Per Capita Consumption is ~58 Kgs.

Per

cap

ita

Stee

l Co

nsu

mp

tio

n in

20

13

(K

g.)

GDP per capita in 2013 ($)

13 *JSW Steel Coated Products Limited

Multi-location manufacturing facilities in India

Leveraging locational advantage to increase market share strategically in the Southern and Western regions of India

2

Dolvi: 3.3 MTPA

2 MTPA Blast Furnace 1.6 MTPA DRI 3.6 MTPA Twin Shell ConArc 55 MW Power Plant

Salem: 1 MTPA

1 MTPA Blast Furnaces 0.5 MTPA Blooming Mill 60 MW Power Plant

Kalmeshwar (JSCPL*)

0.58 MTPA GP/GC 0.19 MTPA Colour Coating Line

Vasind & Tarapur (JSCPL*)

1.18 MTPA GP/GC 0.5 MTPA Colour Coating Line 30 MW Power Plant

Vijayanagar: 10MTPA

1.65 MTPA Corex 8.4 MTPA Blast Furnaces 855 MW Power Plant

14

Strategic overseas presence

JSW Steel ownership: 100% 5 mining licenses awarded Early stage development in progress

Mozambique coal mines

JSW Steel ownership: 70% Acquisition cost: $252mn Started operations in FY11 Maritime concession to develop cape size

port in North Caldera

Chile iron ore mines

JSW Steel ownership: 90% Acquisition cost: $810mn Capacity: 1.2 Net MTPA Plates and 0.55

Net MTPA Pipes Acquired in 2007 Opportunity for diversification in terms

of products, markets and geographies

US plate and pipe mill

JSW Steel ownership: 100% Acquisition cost: $70mn 2 of 7 mines are operational Alloy Dock—Load Out Facility

US coal mines

3

Strategic overseas presence for backward integration and value-added facilities

15

Wide Offering of Flat and Long

Products

Developing New Products, Capturing

Niche Markets

Continuously Increasing Value Added Products

GC

TMT

Slabs

Color Coated

HRC

Billets

HR Plates

Blooms

CRC

Wire Rods

Automotive Grade Steel

Enhanced focus on cold rolled, galvanised and galvanneal products for body panels of automobiles

Manufactured at a new CRM2 complex

Color Coated Products

Largest color coated facility to address construction, warehousing and roofing requirements

State-of-the-art color coating line for appliance grade products used in consumer durables

Electrical Steel Commissioned Cold Rolled Non-grain Oriented (CRNO) steel plant to address

domestic demand by substituting imports of high grade electrical steel

Diversified portfolio to address growing demand for value-added steel

Commissioned new facilities to further enrich product mix

Leveraging JFE Steel’s well-established manufacturing technology for high value-added products for auto-grade steel

Diversified Product Profile 4

Continuously enriching product mix

16 (1) Joint Plant Committee

11.4% 13.4% 6.9% 0.8% India Finished Steel Consumption Growth(1)

JSW Export Turnover as % of Total

JSW Domestic Turnover as % of Total

Domestic market leader with strong export presence 5

Penetrating further to capture growing domestic demand with unique marketing strategy – unique nationwide retail network (JSW Connect, JSW Shoppe, JSW Explore as well as non-exclusive retails) of more than 4,700 outlets with footprints across 495 districts

Leadership position in India and largest exporter of steel products out of India

Ability to re-align sales effort and shift between domestic and export market as per market conditions

Exports to high demand regions such as Asia, Middle East, Europe and the US – presence in over 100 countries

Flexibility to shift between domestic and international markets based on market conditions

77% 85% 84% 75% 76%

23% 15% 16% 25% 24%

FY08 FY10 FY12 FY14 FY15

3.3%

17

Multi-sectoral volume growth

Optimizing market mix and product mix to derive maximum benefit from sector growth

Leveraging export presence

New product approvals for Original Equipment Manufacturers (OEMs) and automotive customers

Increase in value added products leading to incremental growth in focus sectors and also facilitating import substitution

Focused on Retail Sales – increased reach and penetration

Segmented approach to address different retail segments

Metro / Urban

Urban / Semi-urban

Semi-urban /

Rural

‘JSW explore’ Branded, multiple product service

center for steel solutions Just-in-time solution with in-house

profiling lines and Value Added Services

Franchisee Model

‘JSW Shoppe’

Steel distribution

Enhanced customer experience

‘JSW Shoppe Connect’ Smaller retail format linked to JSW

explore/Shoppe Last mile link to talukas/rural areas Sales to end consumers and

MSMEs

Increased customer focus and market penetration

6 Strong sales and marketing platform

18 (1) Total production (12.63MT) divided by total no. of employees on Company payroll (12,271) in FY15

Coke Making: Recovery and Non-recovery Coke Ovens

Agglomeration: Pelletisation and Beneficiation Plants

Iron Making: Blast Furnace, Corex, Sponge Iron (DRI)

Steel Making: Basic Oxygen Furnace (BOF), Electric Arc Furnace (EAF), Conarc

Casting: Continuous Casting, Thin Slab Casting, Billet Casting

Improving labor productivity: Current production of ~1,029 tons/ employee(1)

In-house training programs internal faculty

Continuously investing, building and enhancing competencies

Integrated manufacturing facilities: From pelletisation / beneficiation to downstream value-add capabilities

Dedicated port and railway siding for logistics support

100% assured power supply through captive power plants and arrangements with JSW Energy and the power grid

Diverse blend of technology High labour productivity Integrated operations

Reduced raw material costs

Focus on process improvements

Waste gas utilization for power generation

Efficient operations resulting in low conversion cost

Resulting in operational efficiency

7 Focus on operational efficiency

High level of integration and technological expertise leading to reduced production cost and time

19 (1) Vijayanagar works expansions

Strategic expansion aided by strong project execution 8

Focus on low cost and returns accretive brownfield projects to capitalise on expected demand recovery

1.6 Mtpa • FY 2003 • USD 923/mt

2.5 Mtpa • FY 2006 • USD 682/mt

3.8 Mtpa • FY 2007 • USD 550/mt

7.8 Mtpa • FY 2009 • USD 559/mt

11 Mtpa • FY 2012 • USD 545/mt

Strong project execution capabilities ….

Experienced in-house project management team

Supported by cross-functional team (commercial, finance and legal department)

Established long-term relationship with key domestic and international suppliers

Savings in procurement cost by negotiating firm prices for follow-on orders

… at low specific investment cost(1)

Reduced specific investment cost/ton of capacity expansion shows cost efficiency

Major on-going Projects

Vijayanagar Works:

Capacity expansion from 10 MTPA to 12 MTPA by setting up certain new facilities and debottlenecking/ modification of existing facilities

50,000 TPA capacity Service Center to handle the products of Electrical Steel Complex

Dolvi works:

Capacity expansion from 3.3 MTPA to 5 MTPA by setting up certain new facilities and debottlenecking/ modification of existing facilities

Salem Works:

Capacity expansion from 1 MTPA to 1.2 MTPA by setting up certain new facilities and debottlenecking/ modification of existing facilities

Setting-up of Reheating Furnace in Bar Rod Mill, Coke Oven

and Turbo Generator

Tarapur Works:

Setting up 0.2MTPA Tin plate mill

20 (1) Implemented in a wholly owned subsidiary Amba River Coke Limited.

December 2010 Completed Initiatives—FY2011–2015 Road Ahead

Inability to service existing debt

Inadequate cashflows

Corporate debt restructuring (CDR) case

Exit from CDR

Generating positive profit after tax

Plant under maintenance

Loss making at EBITDA level

High interest cost

Financially distressed

Infusion of equity

Alignment of marketing strategies resulting in freight synergies and VAT benefits

Reduction of high cost working capital funding

Refinancing of existing debt

Electricity sourcing from JSW Energy at competitive prices

Commissioning of 4MTPA pellet plant(1), 1MTPA coke oven(1), waste gas based 55MW power plant, railway siding, and lime calcination plant

Capacity expansion to 5MTPA

Further operational improvements underway

Operational improvements underway

Profitability to improve substantially

Case Study: Turnaround strategy at JSW Ispat’s Dolvi plant

JSW Steel has a proven track record of acquiring troubled assets and turning them around in record time by closely integrating them with its existing operations thus creating synergies and optimizing cost

9 Proven ability to acquire and turnaround assets

Able to leverage an acquisition to maximum value accretion through application of knowledge and experience

21 Refer next slide

Robust financial profile 10

Strong track record of volume and revenue growth

Achieved significant sales growth despite weak economic and sluggish domestic demand in past 2 years

Superior profitability supported by efficient operations

Resilient operations with improved EBITDA margin marked by several productivity and cost improvement measures in FY14 and FY15

Well-capitalized balance sheet

Adequate liquidity levels owing to prearranged funding in place for capacity expansions and a committed working capital facility

Financial flexibility to raise capital

Diverse sources of funding

Strong relationships with over 50 banks/financial institutions with access to low cost credit

Healthy mix of local and foreign currency debt

Strong positioning as compared to peers*

Strong EBITDA margins, low leverage and higher returns on invested capital as compared to global peers

22

Financials as of FY14 (FY ending December) for all peers except JSW Steel and Tata Steel (FY15 ending March) and ThyssenKrupp (FY14 ending September), (1) Calculated as EBITDA/ Revenue, where EBITDA is post adjustment of any one-off items, (2) Calculated as EBIT/ Average Capital Employed (net worth + long-term borrowings + short-term borrowings + current maturity of long-term borrowings + net deferred tax liabilities)

Strong positioning compared to peers

EBITDA Margin (1)

(%)

Net Debt/EBITDA (x)

17.8% 19.2%

26.6% 25.2% 19.5% 17.8% 16.0%

12.0% 9.9% 9.1% 9.1% 6.7% 5.9% 5.1%

JSW Steel(Consolidated)

JSW Steel(Standalone)

Severstal CSN MagnitogorskIron and Steel

Evraz Hyundai Steel Gerdau Nucor Tata Steel Arcelormittal SteelDynamics

US Steel ThyssenKrupp

3.81x 2.97x

0.69x 1.32x 1.49x 1.66x 2.06x 2.20x 2.21x

2.67x

4.30x 4.56x 5.22x 5.55x



Severstal MagnitogorskIron and Steel

ThyssenKrupp Nucor US Steel Arcelormittal Evraz Gerdau Hyundai Steel SteelDynamics

CSN Tata Steel

Return on Average Capital Employed(2)

(%)

9.67% 11.02%

17.78%

11.93% 9.04% 7.97% 7.53%

5.77% 5.60% 5.57% 5.47% 5.41% 4.68%

0.02%



Severstal ThyssenKrupp MagnitogorskIron and Steel

Evraz CSN Gerdau Tata Steel Hyundai Steel SteelDynamics

US Steel Arcelormittal Nucor

23

Agenda

Overview Value Proposition Recent Performance


24 USD/ ` = 65.7418 (RBI reference rate as on Sep 30, 2015)

Key highlights – 2QFY16

Standalone performance

Highest ever quarterly Saleable Steel sales: 3.19 million tonnes

Crude Steel production: 3.25 million tonnes

Gross Turnover: `10,780 crore/ US$1,640 mn

Net Sales: `9,653 crore/ US$1,468 mn

Operating EBITDA: `1,566 crore/ US$238 mn

Net Debt to Equity: 1.22x and Net Debt to EBITDA: 4.55x

Consolidated performance

Gross Turnover: `11,928 crore/ US$1,814 mn

Net Sales: `10,743 crore/ US$1,634 mn

Operating EBITDA: `1,729 crore/ US$263 mn

Net Debt to Equity: 1.72x and Net Debt to EBITDA: 5.32x

Key update

Blast Furnace (BF-1) at Vijayanagar is under shutdown for relining and modification from 19th August, 2015

Blast Furnace at Dolvi too went under shutdown for capacity expansion from 17th October, 2015

25

3.30 3.25 3.40

2QFY15 2QFY16 1QFY16

Crude Steel Production

All figures are in million tonnes

Quarterly volumes – standalone

YoY

-1%


Flat 2.61 2.57 2.50

Long 0.56 0.64 0.69

3.07 3.19 3.11


Saleable Steel Sales

YoY

+4%


Flat 2.47 2.50 2.40

Long 0.48 0.65 0.62

Semis 0.12 0.03 0.08

QoQ

-4%

QoQ

+3%

26

6.40 6.65

1HFY15 1HFY16

Crude Steel Production

5.94 6.29

1HFY15 1HFY16

Saleable Steel Sales

All figures are in million tonnes

Half yearly volumes – standalone

YoY

+4%

1HFY15 1HFY16

Flat 5.05 5.07

Long 1.08 1.33

1HFY15 1HFY16

Flat 4.79 4.91

Long 0.96 1.28

Semis 0.20 0.11

YoY

+6%

27 Source: JPC and JSW Steel, * Domestic sales in million tonnes

^ Total sales in million tonnes – JSW Steel Standalone + JSW Steel Coated Products (net-off inter-company sales)

Quarterly sales highlights – consolidated

Highest ever quarterly domestic sales of 2.82 million tonnes – grew by 22%YoY

Exports strategically moderated to 10% of total sales as planned, and yet mix improved with higher sales of value added products

Retail sales grew 80%YoY, OE/Industrial sales grew 5%YoY, Auto sales grew 4%

62% 53% 57%

24% 35% 32% 15% 13% 11% 2.31* 2.82* 2.66* 26%

10% 14%

3.10^ 3.14^ 3.11^


OE/Industrial Retail Auto Exports

67% 66% 65%

33% 34% 35%


Value added & special Products Other products

28

Retailer network of 4,700 Retail footprints across 495 districts 3,300+ influencer/ retailers engaged 117 influencer meets and 6 plant visits

Brand building activities

Network expansion and Influencer programme

3600 Brand campaign of NeoSteel ECP launched for all Branded products Improved brand positioning

Quarterly retail sales highlights – consolidated

543

976

842


Retail sales (‘000 tonnes)

64% 57% 55%

36% 43% 45%


Retail - Branded SalesRetail - Others Sales

Branded steel product’s sale grew 115% YoY and 10% QoQ

TMT sale grew 195%YoY and 33%QoQ – Individual residential, real estate, commercial and industrial projects were major contibutors

CRCA sales grew 108%YoY and 22%QoQ – Auto and general engineering sectors were major contibutors

Retail sales grew by 80%YoY and 16%QoQ

+80% +16%

29

Cold formable steel gradesHigh strength steel grades (HSS/AHSS)

Widening capability of high-value auto grade steel

270C CR

270E CR

270F CR

IFH390 CR

IFH350 CR 780Y CR

980Y CR 780 HR

590 CR

980Y CR 270E CR

340/440R CR 270/440LA CR 590R/Y CR

340 CR

Bearings

Crankshaft

Differential Gear Fasteners

Leaf spring

Transmission Gears

Coil springs Steering knuckle

Connecting Rod

30

New product development/approvals in 2QFY16

Steel Type: EDD Grade CRC

End use: Roof panel of SUV

Steel Type: IF Grade Galvaneal

End use: Fuel Tank of Two wheeler

Steel Type: AHSS 590/780/ 980 CRC/GA

End use: Structural Components of Passenger Car

Steel Type: SAE Grade Micro-Alloyed

Steel Round

End use: Differential Gear Casing

Steel Type: Ferritic Bainitic 600 Grade HR

End use: Reinforcement brackets of Passenger Car

Steel Type: Electrical Steel- CRNO

End use: Motor stampings

31

Particulars 2QFY16 2QFY15

` Crores USD mn ` Crores USD mn

Gross Turnover 10,780 1,640 12,996 1,977

Net Sales 9,653 1,468 11,886 1,808

Operating EBITDA 1,566 238 2,620 399

Other Income 106 16 119 18

Finance Cost 675 103 720 110

Depreciation 510 78 699 106

Exceptional Items 116 18 190 29

Profit Before Tax 371 56 1,131 172

Tax 130 20 369 56

Profit after Tax 241 37 762 116

USD/ ` = 65.7418 (RBI reference rate as on Sep 30, 2015)

2Q Financials – standalone

32

Particulars 1HFY16 1HFY15


Gross Turnover 21,847 3,323 25,397 3,863

Net Sales 19,634 2,987 23,256 3,537



Finance Cost 1,328 202 1,443 219

Depreciation 1,262 192 1,363 207

Exceptional Items 262 40 190 29


Tax 145 22 740 113

Profit after Tax 272 41 1,563 238


1H Financials – standalone

33 USD/ ` = 65.7418 (RBI reference rate as on Sep 30, 2015)

Operating EBITDA movement – standalone

` crore

2,620

1,566

102

1,357

(2,592)

93

(15)

EBITDA2QFY15

Volume Cost NSR Mix Others EBITDA2QFY16

$399 $16

$206

($394)

$14

($2)

$238

34

Volumes 2QFY16 2QFY15 1HFY16 1HFY15

Production* 0.36 0.41 0.75 0.81

Sales 0.37 0.41 0.77 0.81

` crore

*Including Job Work

Operational performance – JSW Steel Coated Products

Million tonnes

Key P&L data 2QFY16 2QFY15 1HFY16 1HFY15

Turnover 1,927 2,537 4,059 5,042

Operating EBITDA 102 108 212 203


35

Sales (net tonnes) 2QFY16 2QFY15 1HFY16 1HFY15

Plate Mill 41,947 86,084 90,023 1,81,590

Pipe Mill 17,597 16,641 34,754 25,870

Production (net tonnes) 2QFY16 2QFY15 1HFY16 1HFY15

Plate Mill 58,312 1,02,748 1,16,430 2,05,442

Utilization (%) 25% 40% 24% 41%

Pipe Mill 16,043 11,752 29,584 19,882

Utilization (%) 12% 9% 11% 7%

USD mn

Net tonnes = 0.907 metric tonnes

Operational performance – US Plate & Pipe Mill

Key P&L data 2QFY16 2QFY15 1HFY16 1HFY15

Turnover 53.41 94.45 105.88 187.91

EBITDA + Other Income (3.09) 2.54 (12.49) 6.56

Profit after Tax (19.25) (12.71) (44.72) (23.10)

36

Particulars 2QFY16 2QFY15 1HFY16 1HFY15

Production (Tonnes) - 2,24,387 83,774

4,45,123

Sales (Tonnes) - 2,21,025 1,60,667

5,46,547

Turnover - 18.24 8.60 50.31

Operating EBITDA (0.48) (1.76) 0.20 (2.11)

Profit after Tax (1.37) (2.70) (3.29) (5.81)

Operational performance – Chile

USD mn

37

Particulars 2QFY16 2QFY15


Gross Turnover 11,928 1,814 14,859 2,260

Net Sales 10,743 1,634 13,692 2,083



Finance Cost 836 127 855 130

Depreciation 682 104 851 129

Exceptional Items 1 0.2 21 3


Tax 142 22 374 57

Share of Associates and Minority Interest 11 2 11 2



2Q Financials – consolidated

38

Particulars 1HFY16 1HFY15


Gross Turnover 24,484 3,724 29,012 4,413

Net Sales 22,125 3,365 26,759 4,070



Finance Cost 1,659 252 1,699 258

Depreciation 1,621 247 1,646 250

Exceptional Items 2 0.3 21 3


Tax 159 24 756 115

Share of Associates and Minority Interest 29 4 23 3

Profit after Tax 10 2 1,405 214


1H Financials – consolidated

39 *Net Debt excludes Acceptances


Net debt movement – consolidated

` crore

Particulars 30.09.2015 30.06.2015

Cash & cash equivalent (` crore) 1,378 1,963

Net Debt/Equity (x) 1.72 1.66

Net Debt/EBITDA (x) 5.32 4.51

37,953

39,008 919

(1,020)

571 585

Net Debt*

as on Jun'15

New Loan Taken** Repayments Fx Impact Movement in FD/MF Net Debt*

as on Sep'15

$5,773 $140

($155)

$87 $89 $5,934

40

Agenda

Overview Value Proposition Recent Performance


41 Source: Bloomberg, IMF and JSW Steel

Global economy

Global growth expectations continue to be marked down, IMF revises 2015 global GDP growth to 3.1%.

US continues to grow, consumer sentiment remains buoyant, however an adverse external environment is weighing on manufacturing and exports

Europe growth outlook remains stable on the back of monetary stimulus and benign energy prices; recent data print still unaffected by spillover of weak emerging market economies

Japan might need another stimulus for consistent recovery; subdued industrial activities and domestic consumption remain a concern

China “new normal” mark yet to stabilize; spillover of financial market volatility into consumer sentiment yet to be seen, effectiveness of policy easing may be declining

Global growth rate weighed down by emerging economies

-10

-5

0

5

10

15

Au

g-1

2

No

v-12

Feb

-13

May

-13

Au

g-1

3

No

v-13

Feb

-14

May

-14

Au

g-1

4

No

v-14

Feb

-15

May

-15

Au

g-1

5

IIP

(%

Yo

Y)

US Eurozone Japan China3.

5%

2.4%

3.1

% 1.5%

1.0% 4.

3%

7.5%

6.8%

3.3%

2.1%

2.5%

1.5%

0.8% 4.

2%

7.5

%

6.8%

3.1%

2.0

%

2.6%

1.5%

0.6% 4.

0%

7.3%

6.8%

World AMEs US EuroArea

Japan EMEs India China

2015P (Apr 15)2015P (July 15)2015P (Oct 15)

GDP growth projections for 2015

42 Source: World Steel Association, World Steel Dynamics, Bloomberg and JSW Steel

Global steel scenario

World Crude Steel production in 9MCY15 fell by 2.5% – most regions continue to witness a decline

Chinese steel exports continue to increase even at prices below marginal cost as domestic demand falls faster than production cuts – resulting in a global supply glut

Regional HRC prices remain under pressure driven by surging exports from steel-surplus countries at predatory prices and declining demand

Rising exports at predatory prices to intensify trade remedial actions

40

60

80

100

120

140

-20%

-10%

0%

10%

20%

30%

Mar

-13

Sep

-13

Mar

-14

Sep

-14

Mar

-15

Sep

-15

China apparent steel consumption (%YoY growth)

China steel Exports (annualized, mn tonnes) -RHS

-6.8

-6.4 -5

.8 -5.1 -3

.4

-2.1 -0

.7

-2.5

0.8

3.1

N. A

mer

ica

Oth

er E

uro

pe

CIS

Jap

an

Ko

rea

Ch

ina

EU

Wo

rld

MEA

Ind

ia

Global crude steel production - 9MCY15 (% YoY growth)

250325400475550625700775

Ap

r-1

3

Jul-

13

Oct

-13

Jan

-14

Ap

r-1

4

Jul-

14

Oct

-14

Jan

-15

Ap

r-1

5

Jul-

15

Oct

-15

North America ExW North Europe ExWBlack Sea export FOB China export FOB

HR

C p

rice

s ($

/to

nn

e)

43 Source: JPC and JSW Steel

All figures are in million tonnes, * Apparent finished steel consumption net of double counting effect

Indian economy and steel industry

Domestic steel industry continues to suffer from surge in imports – especially from China, Japan, and Korea; consumption of domestically produced steel fell by 2.3%YoY in 1HFY16 as total steel imports surged by 42%YoY

1HFY16 Finished steel exports fell by 26%YoY. Excess availability continue to dent market sentiments

With restart of new mining capacities, domestic iron ore prices correct on the back of improving supply

Activity levels shows an uptick, monetary easing supportive of growth; recent IP data print is encouraging, needs to sustain the momentum

Public spending on a few infrastructure segments (highways, ports, power transmission, etc.) is picking up

Increase in public spending and progress of policy reforms are key to kick-start the investment cycle

“Dumping” of steel a serious concern

44.737.6 36.5

45.139.1

35.7

Crude SteelProduction

Finished SteelConsumption*

Consumption ofdomestically

produced steel1HFY15 1HFY16

0.8%4.1%

-2.3%

4.19

1.34

0.65 0.86

5.93

1.591.17

1.52

Total China Japan Korea

Total Steel Imports

1HFY15 1HFY16

42%

18%80% 77%

44

Certain statements in this report concerning our future growth prospects are forward looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward looking statements. The risk and uncertainties relating to these statements include, but are not limited to risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition within Steel industry including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, our ability to commission mines within contemplated time and costs, our ability to raise the finance within time and cost client concentration, restrictions on immigration, our ability to manage our internal operations, reduced demand for steel, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which the Company has made strategic investments, withdrawal of fiscal/governmental incentives, impact of regulatory measures, political instability, legal restrictions on raising capital or acquiring companies outside India, unauthorized use of our intellectual property and general economic conditions affecting our industry. The company does not undertake to update any forward looking statements that may be made from time to time by or on behalf of the company.

Forward looking and cautionary statement

45

Thank you

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