Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Senior Credit Analyst, Lucror Analytics

Trung Nguyen

Senior Credit Analyst

Credit

In our view, JSW Steel’s Q4 and FY 2021-22 results were robust, with strong growth in production volumes, revenues and earnings. The financial risk profile has improved and is healthy. Liquidity is sound. However, we believe that JSW has experienced the peak of the cycle and profitability will likely reduce from current levels, driven by multiple factors including the Russia-Ukraine war which drove up key raw material prices (coking coal and iron ore). In addition, the recent export duty will likely also hurt India’s domestic steel players (particularly JSW), whose exports as a percentage of sales volumes were roughly double that of the industry. Hence, we foresee significantly lower earnings despite healthy growth in volumes and revenues in FY 2022-23. We expect a double-digit increase in volumes, driven by the capacity expansion programmes at Dolvi and Vijayanagar. We also project double-digit growth in revenues (c. 20%) in FY 2022-23, on account of the volume expansion and prices.

  In our view, JSW Steel’s Q4 and FY 2021-22 results were robust, with strong growth in production volumes, revenues and earnings. The financial risk profile has improved and is healthy. Liquidity is sound.   However, we believe that JSW has experienced the peak of the cycle and profitability will likely reduce from current levels, driven by multiple factors including the Russia-Ukraine war which drove up key raw material prices (coking coal and iron ore). In addition, the recent export duty will likely also hurt India’s domestic steel players (particularly JSW), whose exports as a percentage of sales volumes were roughly double that of the industry. Hence, we foresee significantly lower earnings despite healthy growth in volumes and revenues in FY 2022-23. We expect a double-digit increase in volumes, driven by the capacity expansion programmes at Dolvi and Vijayanagar. We also project double-digit growth in revenues (c. 20%) in FY 2022-23, on account of the volume expansion and prices. 

JSW Steel - Earnings Flash - FY 2021-22 Results - Lucror Analytics

JSW Steel Ltd

JSW Steel - Earnings Flash - FY 2021-22 Results - Lucror Analytics