Gujarat, India-based steel castings manufacturer Steelcast Limited has announced its financial results for the first quarter ended on June 30 of the financial year 2012-13.
In the given quarter, the company's net profit amounted to INR 2.95 billion ($53.3 million), registering an increase of 20.4 percent compared to the same quarter of the previous financial year. Net sales of Steelcast increased to INR 60.8 billion ($1.09 billion), up 37.7 percent year on year.
The company registered a 14.6 percent decrease in its net sales on a quarter-on-quarter basis. The fall is caused by a significant drop in offtake purchases by a major customer due to the pile-up of its inventory. Steelcast also cited the adverse effect of the exchange rate difference during the given quarter as the reason for the drop in net sales.