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JSW Steel Limited Investor Presentation February 2016

2

Agenda

Overview Value Proposition Performance Overview

Business Environment

3 * Listed company

** USD/ ` = 66.3260 (RBI reference rate as on Dec 31, 2015)

JSW Group – overview

USD 11 billion group with presence across the core sectors

JSW Steel 3,762

JSW Energy 2,103

As on Dec 31, 2015

Group market cap ($5,865 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 and higher returns on invested capital as compared to global peers

22

Source: Bloomberg, 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, (2) Calculated as EBIT/ Average Capital Employed

Strong positioning compared to peers

EBITDA Margin (1)

(%)

26.4% 23.4% 22.9%

19.4% 18.8% 17.9% 16.0%

13.3% 12.1% 11.8% 11.0% 10.4% 10.0% 9.9% 9.9% 8.8% 8.3% 8.1% 5.9% 5.5%

Severstal CSN NLMK MMK JSW Steel ChinaSteel

Hyundai Evraz Nipppon Gerdau SAIL JFE Baoshan Nucor Posco Arcelor Hebei Tata Steel US Steel Thyssen

Return on Average Capital Employed(2)

(%) 18.30%

14.20%

11.50% 10.20% 9.70%

8.10% 7.50% 6.60% 6.50% 6.30% 6.20% 6.00% 5.40% 5.40% 5.10% 5.00% 4.90% 4.80% 4.40% 3.70%

Severstal NLMK JSW Steel Nucor MMK Evraz Hebei Hyundai JFE Thyssen Nipppon Baoshan ChinaSteel

CSN Posco Gerdau Tata Steel SAIL US Steel Arcelor

23

Agenda

Overview Value Proposition Recent Performance


24 USD/ ` = 66.3260 (RBI reference rate as on Dec 31, 2015)

Key highlights – 3QFY16

Standalone performance

Crude Steel production: 2.70 million tonnes

Saleable Steel sales: 2.55 million tonnes

Gross Turnover: `8,076crore/ US$1,218 mn

Net Sales: `7,207 crore/ US$1,087 mn

Operating EBITDA: `878crore/ US$132 mn

Net Debt to Equity: 1.48x and Net Debt to EBITDA: 5.67x

Consolidated performance

Gross Turnover: `9,562crore/ US$1,442 mn

Net Sales: `8,621 crore/ US$1,300 mn

Operating EBITDA: `892 crore/ US$134 mn

Net Debt to Equity: 1.83x and Net Debt to EBITDA: 6.66x

25

3.17

2.70

3.25

3QFY15 3QFY16 2QFY16

Crude Steel Production

Quarterly volumes – standalone

YoY

-15%


Flat 2.56 1.87 2.57

Long 0.50 0.63 0.64

3.03

2.55

3.19


Saleable Steel Sales

YoY

-16%


Flat 2.44 1.86 2.50

Long 0.47 0.66 0.65

Semis 0.01 0.03 0.03

QoQ

-17%

QoQ

-20%

All figures are in million tonnes

26

9.57 9.36

9MFY15 9MFY16

Crude Steel Production

8.97 8.84

9MFY15 9MFY16

Saleable Steel Sales

All figures are in million tonnes

9M volumes – standalone

YoY

-2%

9MFY15 9MFY16

Flat 7.60 6.94

Long 1.58 1.96

9MFY15 9MFY16

Flat 7.22 6.77

Long 1.43 1.93

Semis 0.32 0.15

YoY

-1%

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

Increase in Retail sales by 82%YoY helped overall domestic sales to grow by 8%YoY despite the planned shut downs at all upstream locations

Product mix improved with value added products sales reaching 36% of total sales despite lower exports

TMT sales grew 107%YoY and CRCA sales grew 18%YoY

61% 49% 53%

24% 40% 35% 15% 11% 13% 2.16* 2.34* 2.82* 29%

12% 10% 3.03^ 2.67^ 3.14^


OE Retail Auto Exports

65% 64% 66%

35% 36% 34%


Value added & special Products Other products

28 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)

9M sales highlights – consolidated

Increase in Retail sales by 80%YoY helped overall domestic sales to grow by 19%YoY despite the planned shut downs in 3QFY16 at all upstream loactions and lower exports

Product mix improved with value added products sales reaching 35% of total sales

62% 53%

23% 35% 15% 12% 6.56* 7.82*

27% 12%

8.98^ 8.93^

9MFY15 9MFY16

OE Retail Auto Exports

67% 65%

33% 35%

9MFY15 9MFY16Value added & special ProductsOther products

29

Quarterly retail sales highlights – consolidated

57% 55% 57%

43% 45% 43%


Retail - Branded SalesRetail - Others Sales

Branded steel product’s sale grew 4% YoY to 45% of total Retail sales

TMT sale grew 220%YoY – Individual residential, real estate, commercial were major contibutors

HR CTL sale grew 60%YoY; Coated Steel sale grew 38%YoY – General engineering, construction and individual residential projects were major contibutors

Increased retailer network by 1,083 to 5,783 during the quarter

Retail sales grew by 82%YoY

514

936 976


Retail sales (‘000 tonnes)

+82%

-4%

30 Above mentioned approved grades are the highest among the specific product/grade-group; the lower grades upto the highest grades are also approved.

Automotive and appliance grade approvals

Applications Components

Hood 270F 340P 270F 340P

Roof 270F 590R

Doors 270F 270F

Body side outer 270F 270F

BIW (Inner) 980Y 590R 440W

Floor 270F

Structural 980Y 590Y 590R

Reinf. Pillar 980Y

Wheels SPFH440 SPFH590 SAPH 590 HR 750

Engine SCM435 S36CV 86B45 SAE1070 SAE4140

Transmission 16MnCr5 SAE4124 SAE8822 SAE5160 SAE4145

Suspension

Front Panel EDD IF

Side Panel D DD

Cold Rolled Coated HRPO

Hot Rolled Alloy Steel Longs

Appliance

Grades Approved

Automotive

20MnCr5Ni

51CrMoVn

31

Exceptional items related to overseas assets

Particulars Standalone Consolidated

JSW Steel (USA) Inc - US Plate & Pipe Mill 537 140

Periama Holding LLC and its subsidiaries – US Coal 53 27

JSW Panama (Holding) Corporation and its subsidiaries - Chile

183 161

JSW Steel (Netherlands) BV 99 0

Total 871 327

Rs. Crores Equivalent 5,596 2,121

A provision for diminution in value of investments and loans and advances of `5,596crore (at standalone level) and `2,121crore (at consolidated level) related to overseas assets has been made during the quarter

USD mn

32

Particulars 3QFY16 3QFY15

` Crores USD mn ` Crores USD mn

Gross Turnover 8,076 1,218 12,368 1,865

Net Sales 7,207 1,087 11,310 1,705

Operating EBITDA 878 132 2,117 319

Other Income 96 14 88 13

Finance Cost 663 100 781 118

Depreciation 642 97 712 107

Exceptional Items (5,597) (844) (102) (15)

Profit Before Tax (5,928) (894) 611 92

Tax (1,786) (269) 196 30

Profit after Tax (4,142) (624) 415 63

USD/ ` = 66.3260 (RBI reference rate as on Dec 31, 2015)

3Q Financials – standalone

33

Particulars 9MFY16 9MFY15


Gross Turnover 29,923 4,512 37,765 5,694

Net Sales 26,841 4,047 34,566 5,212

Operating EBITDA 3,948 595 7,198 1,085


Finance Cost 1,991 300 2,224 335

Depreciation 1,904 287 2,075 313

Exceptional Items (5859) (883) (291) (44)

Profit Before Tax (5,511) (831) 2,914 439

Tax (1,641) (247) 936 141

Profit after Tax (3,870) (583) 1,978 298


9M Financials – standalone

34 USD/ ` = 66.3260 (RBI reference rate as on Dec 31, 2015)

Operating EBITDA movement – standalone

` crore/ USD mn

2,117

878

(332)

1,406

(2,350)

23 14

EBITDA3QFY15

Volume Cost NSR Mix Others EBITDA3QFY16

$319

($50)

$212

($354)

$3 $2 $132

35

Volumes 3QFY16 3QFY15 9MFY16 9MFY15

Production* 0.33 0.36 1.11 1.17

Sales 0.34 0.37 1.14 1.18

` crore

*Including Job Work

Operational performance – JSW Steel Coated Products

Million tonnes

Key P&L data 3QFY16 3QFY15 9MFY16 9MFY15

Turnover 1,629 2,270 5,687 5,042

Operating EBITDA 38 65 250 268

Profit after Tax (22) (18) 26 1

36

Sales (net tonnes) 3QFY16 3QFY15 9MFY16 9MFY15

Plate Mill 36,192 63,822 1,26,215 2,45,413

Pipe Mill 12,421 18,101 47,175 43,972

Production (net tonnes) 3QFY16 3QFY15 9MFY16 9MFY15

Plate Mill 48,547 83,601 1,64,978 2,89,043

Utilization (%) 20% 34% 23% 39%

Pipe Mill 13,217 18,898 42,800 38,780

Utilization (%) 10% 14% 10% 9%

USD mn

Net tonnes = 0.907 metric tonnes

Operational performance – US Plate & Pipe Mill

Key P&L data 3QFY16 3QFY15 9MFY16 9MFY15

Turnover 39.58 79.81 145.45 267.72

EBITDA + Other Income (4.89) (0.46) (17.38) 6.10

Profit after Tax (15.37) (16.09) (60.09) (39.19)

37

Particulars 3QFY16 3QFY15 9MFY16 9MFY15

Production (Tonnes) - 2,18,515 83,774 6,63,638

Sales (Tonnes) - 2,24,123 1,60,667 7,70,670

Turnover - 14.20 8.60 64.51

Operating EBITDA (0.32) (6.45) (0.12) (8.56)

Profit after Tax (0.63) (6.38) (3.92) (13.04)

Operational performance – Chile

USD mn

38

Particulars 3QFY16 3QFY15


Gross Turnover 9,562 1,442 14,026 2,115

Net Sales 8,621 1,300 12,927 1,949

Operating EBITDA 892 134 2,296 346


Finance Cost 811 122 937 141

Depreciation 773 117 890 134

Exceptional Items (2,122) (320) - -

Profit Before Tax (2,792) (421) 482 73

Tax (1,810) (273) 175 26

Share of Associates and Minority Interest 58 9 22 3

Profit after Tax (923) (139) 329 50


3Q Financials – consolidated

39

Particulars 9MFY16 9MFY15


Gross Turnover 34,045 4,512 43,038 5,694

Net Sales 30,746 4,047 39,686 5,212

Operating EBITDA 4,248 595 7,720 1,085


Finance Cost 2,469 300 2,635 335

Depreciation 2,394 287 2,536 313

Exceptional Items (2,124) (883) (21) (44)

Profit Before Tax (2,652) (831) 2,620 439

Tax (1,651) (247) 932 141

Share of Associates and Minority Interest 88 (583) 46 298

Profit after Tax (913) 4,512 1,734 5,694


9M Financials – consolidated

40 *Net Debt excludes Acceptances


Net debt movement – consolidated

` crore/ USD mn

Particulars 31.12.2015 30.09.2015

Cash & cash equivalent (` crore) 1,161 1,378

Net Debt/Equity (x) 1.83 1.72

Net Debt/EBITDA (x) 6.66 5.32

39,008

39,483 567

(460)

151 217

Net Debt*

as on Sep'15

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

as on Dec'15

$5,881 $85

($69)

$23 $33 $5,953

41

Agenda

Overview Value Proposition Recent Performance


42 Source: Bloomberg, IMF and JSW Steel

Global economy

Global economic outlook remains fragile, IMF revises down 2016 global GDP growth yet again to 3.4%.

Downside risk persists with 1) slowdown and rebalancing in China, 2) global trade imbalances driven by a sharp drop in commodity prices as well as weakening currencies, 3) limited room for further monetary stimulus, and 4) uncertainty around monetray tightening by US

Expectations of a pick-up in global growth momentum is waning

3.1

%

1.9

%

2.5

%

1.5

%

0.6

% 4.0

%

7.3

%

6.9

%

3.8

%

2.4

%

3.1

% 1.6

%

1.2

% 4.7

%

7.5

%

6.3

%

3.4

%

2.1

%

2.6

%

1.7

%

1.0

%

4.3

%

7.5

%

6.3

%

World AMEs US EuroArea

Japan EMEs India China

2015E (Jan'16) 2016P (Apr'15)

2016P (Jan'16)

GDP growth - 2015 estimates and 2016 projections by IMFGDP growth - 2015 estimates and 2016 projections by IMF

60

100

140

180

220

De

c-1

2

Mar

-13

Jun

-13

Sep

-13

De

c-1

3

Mar

-14

Jun

-14

Sep

-14

De

c-1

4

Mar

-15

Jun

-15

Sep

-15

De

c-1

5All CommodityFuel (Energy)Metals

IMF World Commodity Price Index, 2005=100

25

50

75

100

125

De

c-1

2

Mar

-13

Jun

-13

Sep

-13

De

c-1

3

Mar

-14

Jun

-14

Sep

-14

De

c-1

4

Mar

-15

Jun

-15

Sep

-15

De

c-1

5

BRL/USD INR/USDJPY/USD RUB/USDEUR/USD CNY/USD

Key currencies' movement against USD - Dec 31, 2012=100

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

Global steel scenario

World Crude Steel production in CY2015 fell by 2.9%, as capacity utilization in Dec’15 dropped below 65% – most regions continue to witness a decline

Global steel demand continues to weaken with lower investment activities

Steel exports from steel-surplus countries (as domestic demand falls faster than production cuts) are at elevated levels

Predatory pricing is intensifying trade measures to check surging imports and pricing pressure

40

60

80

100

120

140

-20%

-10%

0%

10%

20%

30%

De

c-1

3

Mar

-14

Jun

-14

Sep

-14

De

c-1

4

Mar

-15

Jun

-15

Sep

-15

De

c-1

5

China apparent steel consumption (%YoY growth)

China steel Exports (annualized, mn tonnes) -RHS

-8.6

-4.8 -4.3

-2.7

-2.5

-2.3 -1.8

-2.9

2.9

-6.8 -5

.1

-5.8

-3.4

-1.4

-2.1

-0.7

-2.5

3.1

N. A

me

rica

Japa

n

CIS

Kor

ea

S. A

me

rica

Chin

a

EU

Wor

ld

Ind

ia

9MCY15 CY15

Global crude steel production (% YoY Change)

220300380460540620700

Jan

-14

Ap

r-1

4

Jul-

14

Oct

-14

Jan

-15

Ap

r-1

5

Jul-

15

Oct

-15

Jan

-16

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

HR

C p

rice

s ($

/to

nn

e)

44 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

Consumption of domestically produced steel fell by 1.2%YoY in 9MFY16 as total steel imports surged by 29%YoY

9MFY16 Finished steel exports fell by 30%YoY.

Steel industry is grappling with headwinds of insipid demand, excess supply and pricing pressure driven by surge in imports at predatory pricing

Consumer discretionary spending, public capex (highways, ports, power transmission, etc.) and foreign direct investment have continued to improve, supporting a gradual growth recovery

However, weaker exports and private capex have been a drag

Progress on policy reforms coupled with government’s measures to pump prime the economy bode well for steel demand over the medium term

Adequate measures urgently required to check unbridled and unfair imports of steel

66.556.5 54.1

67.158.9

53.5

Crude SteelProduction

Finished SteelConsumption*

Consumption ofdomestically

produced steel9MFY15 9MFY16

0.9%4.4%

-1.2%

1.76 0.48 0.29 0.42

2.430.86

0.36 0.44

2.80

1.24

0.400.55

3Q 2Q 1Q

FY15 FY16

Total Steel Imports

FY15 FY16

China

FY15 FY16

Korea

FY15 FY16

Japan

2.770.72 0.59 0.62

3.16

0.870.58 0.90

3.11

1.08

0.510.75

45

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

46

Thank you

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