In Short:
PSU steel-maker SAIL reported a 3% dip in net profit to ₹1,126 crore for the quarter ending March 31, 2024, due to falling steel prices and higher costs. Annual net profit jumped 40% to ₹3,067 crore, with revenue from operations at ₹1,05,378 crore. SAIL’s production and sales volume grew 5.2% and 5.1% respectively. Chairman Amarendu Prakash emphasized the company’s focus on increasing volumes and efficiency.
Hey there!
Guess what? Our very own PSU steel-maker, the Steel Authority of India Ltd (SAIL), just shared some exciting news. So, here it goes…
SAIL Reports 3% Dip in Consolidated Net Profit
For the quarter ending March 31, 2024, SAIL reported a 3 per cent dip, year-on-year, in consolidated net profit to ₹1,126 crore. Last year, during the same period, it was ₹1,159 crore.
- Also read: Steel-major SAIL gets clearance for ₹1-lakh cr expansion plans, working on de-carbonisation strategy: Amarendu Prakash
Why the dip, you ask? Well, it seems like there was a fall in steel prices and higher costs involved.
Financial Highlights
Despite the dip in quarterly profits, for the fiscal year, there was a 40 per cent surge in net profit to ₹3,067 crore. Now, that’s impressive, right?
Further, the revenue from operations stood at ₹27,959 crore, down 4 per cent compared to last year.
Seems like the steel market in India is facing tough competition due to increased imports from China. They seem to be selling steel at cheaper prices, affecting the local market.
Steady Growth in Production
Despite these challenges, SAIL managed to achieve a year-on-year growth of 5.2 per cent in crude steel production and 5.1 per cent in sales volume during FY24. Kudos to the team!
The Revenue from Operations crossed the ₹1,00,000 crore level for the third consecutive year, which is fantastic news for the company.
Dividend Announced
The SAIL Board has recommended a final dividend of ₹1 per equity share for FY24, subject to shareholder approval. This is on top of the interim dividend of ₹1 per equity share already paid during the year.
Positive Outlook
According to Amarendu Prakash, Chairman of SAIL, the Indian Steel Markets are showing robust growth in demand. He mentioned that SAIL is working on increasing volumes, adding value-added products, and improving efficiency levels to tap into the growing Indian steel market.
- Also read: SAIL initiates deleveraging ahead of ₹1-lakh-cr capex, modernisation
That’s it from SAIL for now. Stay tuned for more updates!
