SAIL expects FY15 to be better than FY14 in terms of steel demand

BureauUpdated: Saturday, June 01, 2019, 12:12 PM IST
article-image

New Delhi: Steel Authority of India Ltd expects the current financial year to March to be better than 2013-14 (Apr-Mar) on the back of softening in input prices, relative stabilisation of the rupee and likely easier interest rates, which may drive steel consumption in the country.

“…The current financial year would be better. The input prices are also on the lower side, the rupee has also centred and we feel that the impact of this would be available and the interest rates are also coming down steadily, the pattern is also on the hold or on the decline,” the company said at a post earnings conference call.

At 1312 IST, shares of SAIL were down 4.1% at 87.05 rupees on the National Stock Exchange.

The company also expects to reap the benefits of the enhanced capacities from the current financial year where modernisation and expansion is underway.

The company’s net sales realisation for May will be down by 800-850 rupees per tn as compared to March, the management said, adding that for the June quarter, the product prices were down by 500-700 rupees per tn from the last quarter.

Acknowledging there was a lull in demand in the market post March, the company said it had hiked discounts which is offered to customers while keeping the base prices intact.

SAIL had reported on Wednesday an almost flat bottomline, which was weighed down mainly by high expenditure and finance cost.

The company’s Jan-Mar net profit was 4.53 bln rupees, up 1.4% year on year, while an average of estimates by 10 brokerages had expected net profit at 8.26 bln rupees. Net sales for the Delhi-based company grew 9.43% on year to 133.10 bln rupees in Jan-Mar.

(To receive our E-paper on whatsapp daily, please click here. To receive it on Telegram, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)

RECENT STORIES

700 robbery at knifepoint: 5 men set free after 5 years by Bombay HC

700 robbery at knifepoint: 5 men set free after 5 years by Bombay HC

No pics of CM, DyCM on banners: Rahul Shewale seeks action against BMC commissioner Iqbal Singh...

No pics of CM, DyCM on banners: Rahul Shewale seeks action against BMC commissioner Iqbal Singh...

8 pharma firms make a beeline for monkeypox vax

8 pharma firms make a beeline for monkeypox vax

DGCA issues guidelines to prevent bird hits at airports

DGCA issues guidelines to prevent bird hits at airports

Caste scrutiny committee gives clean chit to Sameer Wankhede: 'Not a Muslim by birth'

Caste scrutiny committee gives clean chit to Sameer Wankhede: 'Not a Muslim by birth'