Mumbai: NMDC Steel Limited (NSL), the steel manufacturing arm of state-owned NMDC, announced its unaudited financial results for the quarter and nine months ended December 31, 2025. The company reported a loss for the third quarter, though revenue showed significant year-on-year growth.
Financial Performance Snapshot (Q3 FY26)
| Parameter | Q3 FY26 | Q3 FY25 | Change |
|---|---|---|---|
| Revenue from Operations | ₹3,007.69 Cr | ₹2,119.54 Cr | +41.9% |
| Net Loss After Tax | ₹243.97 Cr | ₹757.78 Cr | Loss Reduced by 67.8% |
| Loss Before Tax | ₹263.81 Cr | ₹1,056.47 Cr | Reduced by 75.0% |
| Earnings Per Share (EPS) | -₹0.83 | -₹2.59 | Improved |
Also Read: NMDC Q3 FY26 Net Profit at ₹1,738 Crore, Declares ₹2.50 Per Share Dividend
Nine-Month Performance (Apr-Dec 2025)
For the nine-month period of FY26:
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Total Revenue: ₹9,762.81 crore, up 72.3% from ₹5,664.80 crore in 9M FY25
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Net Loss: ₹333.19 crore, reduced from ₹1,900.40 crore in 9M FY25
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Loss Before Tax: ₹410.32 crore, improved from ₹2,657.41 crore
Operational and Financial Metrics
Key Ratios (Q3 FY26):
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Operating Margin: 3.87% (improved from -30.08% in Q3 FY25)
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Net Profit Margin: -8.11% (improved from -35.75%)
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Debt-Equity Ratio: 0.38 (improved from 0.47 in Q3 FY25)
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Current Ratio: 0.57
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Interest Service Coverage Ratio: -1.06
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Debt Service Coverage Ratio: 0.07
Debt Repayment and Borrowings Update
The company successfully repaid its Non-Convertible Debentures (NCDs) of ₹523.80 crore along with accrued interest of ₹42.98 crore on August 28, 2025. There are no outstanding NCDs as of December 31, 2025.
Current Borrowing Status:
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Rupee Term Loan Outstanding: ₹3,401.14 crore (after repayment of ₹1,074.67 crore)
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Working Capital Limits: ₹4,100 crore sanctioned (₹1,391.72 crore utilized)
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Latest Interest Rate: 8.45% p.a. effective from October 12, 2025
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No Default Status: Company confirms no defaults in repayment of borrowings or interest
Strategic Disinvestment Update
The strategic disinvestment process of NMDC Steel Limited continues as per the government's plan. The Cabinet Committee on Economic Affairs (CCEA) has given in-principle approval for:
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Divestment of Government of India's 50.79% shareholding along with management control to a strategic buyer
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Offering 10% stake to NMDC Limited after identifying the strategic buyer through bidding process
Regulatory and Compliance Matters
GST Proceedings:
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GST authorities had issued show cause notices for ₹111.19 crore
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Company accepted and paid ₹8.45 crore
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₹45.90 crore dropped, ₹56.40 crore pending in High Court
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₹0.35 crore under appeal (being handled by NMDC Ltd. as per demerger scheme)
New Labour Codes Impact:
The company has assessed the financial impact of new labour codes effective November 21, 2025, resulting in an increase in gratuity liability by ₹17.80 crore, which has been provided in the financial results.
Management Structure
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Amitava Mukherjee: Chairman-cum-Managing Director (Additional Charge)
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Board Meeting Duration: 35 minutes (1400 hrs to 1435 hrs)
About NMDC Steel Limited
NMDC Steel Limited operates the 3 MTPA integrated steel plant at Nagarnar, Chhattisgarh. The company was demerged from NMDC Limited and is currently undergoing strategic disinvestment by the Government of India.