NMDC Steel Shares Surge 18% Following Fourth-Quarter Profit Rebound, Reaching 20-Month High

NMDC Steel Shares Surge 18% to 24-Month High

Shares of NMDC Steel gained 18% in Monday's intraday trade, hitting a 24-month high of ₹52.60 apiece, following the company's sharp turnaround in its financial performance for the March 2026 quarter and the full financial year FY26. The company's improved operational performance and strong growth in revenue led to a significant increase in its financial metrics.

NMDC Steel posted a consolidated net profit of ₹391.9 crore in Q4FY26, a sharp contrast to the net loss of ₹473.4 crore in the corresponding quarter last year. Revenue from operations during the quarter rose 36.7% year-on-year to ₹3,879 crore from ₹2,838 crore, while total income increased to ₹3,905 crore. At the operating level, profit before tax stood at ₹486.1 crore compared to a loss of ₹664.3 crore in Q4FY25, reflecting a significant improvement in profitability.

For the full year FY26, NMDC reported a net profit of ₹58.7 crore compared with a net loss of ₹2,373.8 crore in FY25. Revenue from operations for the year surged nearly 60% to ₹13,641.8 crore from ₹8,503 crore a year ago. The turnaround was largely driven by higher revenue growth, better cost absorption, and a sharp recovery in operating performance, as the company swung to a pre-tax profit of ₹75.8 crore in FY26 from a loss of ₹3,321.7 crore in FY25.

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The improvement also came despite elevated expenses, indicating stronger business momentum and improved operational efficiency during the year. NMDC Steel's shares have witnessed a strong recovery in recent months, surging 66% from their March lows. The stock ended last month with a gain of 4.35%, marking the second consecutive monthly rise after a sharp 28% jump in April.

In terms of yearly performance, the stock has delivered a modest return of 2.5% in CY25, while in the current year so far, it has gained 14%. After hitting an all-time high of ₹137 in February 2024, the shares came under severe selling pressure, plunging to ₹33. However, the recent recovery has brought some relief to shareholders, though the stock still remains 32% below its peak.