India's largest steelmaker JSW Steel (JSW) has announced its latest financial results for the second quarter and the first half ended September 30 of the financial year 2012-13. In the second quarter, JSW’s crude steel production reached 2.17 million mt, increasing by 25 percent compared to the corresponding quarter of the previous financial year.
In the second quarter of the financial year 2012-13, JSW also posted 13 percent growth in its flat rolled production to 1.66 million mt and 19 percent growth in its long rolled product output to 400,000 mt, both compared to the same quarter of the previous year.
According to company’s statement, due to constraints in iron ore supplies the company operated at under 80 percent capacity utilization rate during the second quarter of the financial year 2012-13.
In first half of the financial year, JSW produced 4.32 million mt crude steel. In the given period, JSW’s flat steel production increased by 21 percent to 3.33 million mt, while its long steel production in the given period increased by 25 percent to 800,000 mt, year on year.
Meanwhile, in the second quarter JSW's profit after tax increased to INR 8.2 billion ($152 million). In the same quarter of the previous year, JSW’S profit after tax was recorded as INR 1.2 billion, while JSW's net sales value rose to INR 88.3 billion ($163 million) in the given quarter, up by 16 percent year on year. The company’s net profit improved dramatically due to 6.4 percent appreciation in the value of the rupee against the US dollar during Q2 FY 2012-13 and increasing volumes.
In first half of the financial year 2012-13, JSW’s profit after tax increased by 55 percent to INR 10.9 billion ($202 million). In the given period, JSW’s net sales value rose to INR 178.6 billion ($3.3 billion), up by 22 percent year on year.
According to JSW’s statement, “In the midst of the challenging global and domestic economic scenario, the company showed a robust performance in the quarter.” According to JSW’s expectations, the Indian economy will recover after recent economic reform announcements.