SAIL consolidated net profit rises 4.1% to Rs 1,529 crore in Q3

Steel Authority of India Ltd (SAIL) on Wednesday reported a 4.1 per cent rise in consolidated net profit at Rs 1,528.54 crore for the October-December period of the ongoing fiscal, helped by higher income.

The company had posted a consolidated net profit of Rs 1,468.20 crore in the year-ago period, SAIL said in a filing to BSE.

Its consolidated income during the quarter increased to Rs 25,398.37 crore, from Rs 19,997.31 crore earlier.

In a statement, the company said it has delivered one of its best physical performances during the quarter as well as nine months ended December 31, 2021.

"However, the same is not reflected in the financial performance of Q3 FY'22 due to various factors beyond the control of the company which primarily include unprecedented increase in the prices of imported and indigenous coking coal," it said.

With the overall positive outlook in the economy and the announcements in the Union Budget for increasing the infrastructure spending, the performance is likely to improve in the coming quarters, it added.

The company's focus remains to lower its borrowings and this is reflected in the reduction of about 15 per cent over Q2, it added.

The saleable steel production in the third quarter was 4.365 million tonnes (MT), compared to 4.153 MT in the corresponding quarter of previous fiscal.

While the crude steel production during the quarter was at 4.531 MT, hot metal production stood at 4.886 MT. The company added it has achieved the "best ever Q3 and 9M production of hot metal, crude steel and saleable steel."

Its borrowings stood at Rs 19,128 crore as on December 31, 2021.