Indian steelmaker Jindal Steel and Power Ltd (JSPL) has issued its consolidated financial results for the fourth quarter of 2010 or third quarter ended December 31 of the current Indian financial year, reporting improved results due to robust demand in the areas of steel and power in the period.
Net income after tax was INR 9.51 billion ($208.05 million) in the three months in question, up nine percent year on year from INR 8.75 billion in the same period of 2009. The company also pointed out that net sales jumped by 18 percent to Rupees 31.74 billion ($694.38 million) in the quarter compared to 26.98 billion in the corresponding period of 2009.
As to quarterly developments, JSPL has reminded that its plant in Oman, Jindal Shadeed, has started trial production almost four months ahead of schedule with first production of hot briquetted iron (HBI) on December 5, 2010, before the target date of March 31, 2011. Jindal Shadeed has installed a 1.5 million mt per annum gas-based HBI plant in the Sohar Industrial Port area of Sohar, Oman.
Announced earlier this year, a definitive share purchase agreement and other transaction documents were signed with a takeover price of US$500 million, including the assumption of liabilities.
Furthermore, Jindal Steel Bolivia, a subsidiary of JSPL, secured land in August 2010 to start its US$ 2.1 billion steel and power plant in Bolivia.