MSP Steel & Power reports loss despite higher turnover, converts debt to equity

MSP Steel & Power Limited reported its Annual Report for the financial year 2024-25, showing a turnover of ₹2,90,524.78 Lakhs, a marginal increase of 1.09% from the previous year. However, the company faced profitability challenges, recording a net loss of ₹(2,870.98) Lakhs, compared to a net profit of ₹1,438.90 Lakhs in the prior fiscal year. This shift is primarily attributed to the reversal of Minimum Alternative Tax (MAT) credit and remeasurement of deferred tax assets/liabilities following the adoption of Section 115 BAA of the Income Tax Act, 1961.

A significant highlight for the year was the successful conversion of Optionally Convertible Debentures (OCDs) and unsecured promoter loans into equity shares, strengthening the company's balance sheet. This strategic deleveraging, totaling ₹45,157.15 lakhs in OCDs and ₹12,795.80 Lakhs in unsecured loans, increased paid-up equity capital by ₹18,138.16 lakhs and securities premium by ₹46,750.95 lakhs.

The 56th Annual General Meeting will be held on Thursday, September 25, 2025, to present the Annual Report. The company continues to focus on operational excellence, digital transformation, and sustainability initiatives, including reducing its carbon footprint and enhancing waste heat recovery.