Steel Authority of India Ltd. (SAIL), on Thursday, reported a steep 71.68 per cent decline in net profit at Rs.446.53 crore for the fourth quarter ended March 31, 2013, mainly due to lower net sales realisation. It had posted a net profit of Rs.1,576.98 crore in the January-March quarter of 2012.
“The sharp decline in net sales realisation of 11 per cent per tonne of steel in Q4 of 2012-13 adversely affected the profitability of SAIL, with negative impact of Rs.1,347 crore on account of this factor alone,” the company said in a statement.
Total income also fell nearly 10 per cent to Rs.12,330.42 crore from Rs.13,685.29 crore in the year-ago period. Total expenses stood at Rs.11,600.18 crore for the quarter.
The company has not published consolidated results for the January-March quarter.
For the year ended March 31, 2013, SAIL’s standalone net profit was down 38.74 per cent to Rs.2,170.35 crore. Its total income declined by 3.75 per cent to Rs.44,598.26 crore.
On a consolidated basis, the company reported a 38.46 per cent fall in its net profit at Rs.2,180.52 crore, while total income stood at Rs.44,697.61 crore, down 3.59 per cent.
During the year, the steel major commissioned projects worth Rs 5,500 crore.
Expressing hope that depressed market conditions would improve with recent measures by the government to facilitate faster clearance of projects, SAIL Chairman C. S. Verma said the company would be adding 5 million tonnes capacity.