Monday, January 26, 2009

RINL Sales Up 4 Percent But Heads Into Loss

Rashtriya Ispat Nigam Limited, the flagship company of the Visakhapatnam Steel Plant, registered a 4 per cent increase in sales turnover at Rs 7,033 crore (Rs70.33 billion) during the April-December 2008 period, as against Rs 6,766 crore (Rs 67.66 billion) in the corresponding period last year.

However, in the third quarter of the current fiscal year, it incurred a net loss of Rs 213 crore (Rs2.13 billion) due to the global economic meltdown that resulted in lower realisations and higher input costs. The trend is likely to continue in the fourth quarter as well.

The company had registered a net profit of Rs 1,211 crore (Rs 12.11 billion) in the first half year, an RINL release said. During the nine-month period, VSP sold about 1.15 million tonnes of value-added steel while production of saleable steel for the period stood at 2.181 million tonnes.

Source: Business Standard

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