Tata Sponge Iron’s net profit drops 80 percent in Q2 FY 2009-10

Tuesday, 27 October 2009 10:19:11 (GMT+3)   |  
       

Tata Sponge Iron Ltd., the direct reduced iron (DRI) producing subsidiary of Indian steel giant Tata Group, has released its financial results for the second quarter and half year, ended on September 30, of the current Indian fiscal year.

Accordingly, in the second quarter of FY 2009-10, Tata Sponge Iron's net sales amounted to Rupees 1.13 billion ($24 million), decreasing by 52.25 percent, while its net profit totaled Rupees 145.9 million ($3.11 million), down 80 percent, both compared to the corresponding period of the previous fiscal year.

Meanwhile, in the first half of the current fiscal year, the company's net sales decreased 33.42 percent year on year, reaching Rupees 2.3 billion ($48.88 million). In the period in question Tata Sponge Iron's net profit amounted to Rupees 308.4 million ($6.56 million), down 69.8 percent year on year.

Orissa-based Tata Sponge Iron has an annual sponge iron output capacity of 390,000 metric tons, and the company has the ability to produce 26 MW of power per year.

According to the figures collected by World Steel Association (worldsteel), India is the largest producer of sponge iron in the world. In September 2009, the country's sponge iron output totaled 1.7 million metric tons, while in the first nine months of the year this amount reached 15.63 million metric tons.


Similar articles

Philadelphia P&S dock delivered scrap prices

10 Jul | Scrap & Raw Materials

Indian integrated steelmaker Shri Bajrang to raise $30 million to fund brownfield expansion

26 Nov | Steel News

Indian sponge iron output growth to switch to negative in Q3 FY 2021-22 from coal shortage

18 Oct | Steel News

Bolivia’s ESM resumes construction works following 15-month delay

22 Jun | Steel News

Mills in Chhattisgarh seek invocation of pre-emption rights to prevent iron ore leaving the state

18 Jun | Steel News

Odisha sponge iron plants seek government intervention to mitigate iron ore shortage, spiralling prices

03 Jun | Steel News

Bolivia’s ESM to resume construction works by March

23 Feb | Steel News

Indian sponge iron producers seek export duty for iron ore pellets

21 Jul | Steel News

Ex-India DRI offer to Bangladesh down

01 Aug | Scrap & Raw Materials

India’s domestic DRI prices trend up

18 Jul | Scrap & Raw Materials