Financial Daily from THE HINDU group of publications
Friday, May 26, 2006
Financial Daily from THE HINDU group of publications Friday, May 26, 2006 |
|
|
|
|
|
|
|
Corporate Results
-
Steel High coal prices drag SAIL Q4 net down 59 pc Our Bureau
New Delhi , May 25 The Steel Authority of India Ltd (SAIL) on Thursday reported a massive 59 per cent fall in its net profit for the fourth quarter at Rs 1,103 crore against Rs 2,678 crore in the corresponding period last fiscal. The net profit for fiscal 2005-06 stood at Rs 4,013 crore compared to Rs 6,817 crore in 2004-05, marked a fall of around 41 per cent. The lower profits are due to pressure on margins and increased coal prices, according to a company release. The company announced a final dividend of 20 per cent, including the 12.5-per cent interim dividend announced in February this year. Last year, the company had paid a total dividend of 33 per cent, including 15 per cent interim and 18 per cent final. Total income during the quarter under review was Rs 9,379 crore (Rs 9,534 crore). Total income for the full 2005-06 stood at Rs 29,312 crore (Rs 29,575 crore).
Saleable steel output
The company also recorded highest-ever saleable steel production of over 12 million tonnes (mt) and total sales of 11.3 mt during the year. During the year, hot metal production increased by 11 per cent to 14.6 mt, crude steel output went up by 8 per cent to 13.5 mt and saleable steel production scaled by 6.6 per cent to over 12 mt with the four main plants operating at a record-breaking 109 per cent average capacity utilisation level. The 3-lakh-tonne operating capacity of the Iisco Steel Plant (ISP) that had been merged with SAIL recently, is now being upgraded under a modernisation plan. At the end of the fiscal year, SAIL's market borrowings were down by Rs 1,472 crore from the previous year and stood at Rs. 4,298 crore.
e-platforms
The company has also moved ahead in its electronic mode of purchase and sales. Procurement and sales of material through e-platforms by SAIL increased by 40 per cent during the year to Rs 1,750 crore, the release said. Under the phase-I of SAIL's Corporate Plan capital schemes valued at over Rs 4,400 crore are now under various stages of implementation. Stating that the company's success is based on its human resources and the available infrastructure and financial strength, the company's Chairman, Mr V.S. Jain, said, "With the current trends of steel prices improving and price of coking coal reducing, the adverse impact on profitability will be substantially neutralised in the coming months. Envisaging higher production and productivity, SAIL is confident of meeting any competitive challenge from domestic and global players."
More Stories on : Steel | Coal | Steel Authority of India Ltd
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2006, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|