State-owned National Aluminium Company (Nalco) today reported manifold jump in net profit at Rs 179.17 crore for the July-September quarter, primarily due to rise in revenues from chemicals business and decline in the power and fuel costs.
The Bhubaneswar-based aluminium major had reported net profit of Rs 4.78 crore for the second quarter of last fiscal, 2012-13.
Net sales of the company in Q2, 2013-14 rose by 7.83 per cent to Rs 1,710.09 crore vis-a-vis Rs 1,585.92 crore in the year-ago period, Nalco said in a filing to the BSE.
The company’s chemicals business, which dislodged aluminium from being the main business in Q2, increased by 49 per cent to Rs 965.50 crore.
Revenues from aluminium declined 22 per cent to Rs 975.14 crore in the quarter, while revenues from electricity segment were down 18.56 per cent to Rs 377.48 crore.
Nalco managed to cut its expenditure to Rs 1,599.17 crore in Q2, from the levels of Rs 1,733.88 crore a year ago, as its expenses on power and fuel declined 32 per cent to Rs 513.15 crore.
In Q2 of last fiscal, Nalco’s expenditure (Rs 1,733.88 crore) had overshot its net sales (Rs 1,585.92 crore) due to high power and fuel costs and had affected its profitability.
The company’s other income declined in Q2 of the current fiscal by 11.69 per cent to Rs 122.84 crore, while its tax outgo increased manifold to Rs 82.73 crore.
For the half-year ended September 30, 2013, the company reported net profit of Rs 338.87 crore and net sales of Rs 3,246.63 crore.
Nalco shares were trading at Rs 39.40 a piece on the BSE in the afternoon, up 3.68 per cent from the previous close.