SAIL reports net loss of Rs 732 crore for Q2 FY17

KOLKATA: Steel Authority of India (SAIL), the country's largest state-owned steel major, has reported a net loss of Rs 732 crore for Q2 FY17 against a loss of Rs 1,108 crore in Q2FY16 on higher interest and depreciation charges for capitalisation of new assets and higher global coking coal prices, despite an improved physical performance.

SAIL's gross turnover stood at Rs. 12,431 crore, up 22% as compared same period last year led by higher sales volume. Continuing the trend from the first quarter of this fiscal, SAIL recorded a positive EBIDTA in Q2 FY17 of Rs 180 crore compared to a negative EBIDTA of Rs. 829 crore in Q2 FY16, the company said in a late evening statement.

Commenting on the performance chairman, SAIL, P K Singh said: “Despite the unabated rise in coal prices, we are working on a holistic strategy to remain competitive by reducing our cost, faster ramping up of new facilities and aggressive marketing."

SAIL recorded its best ever sales of 3.6 Million Tonnes (MT) in the second quarter of the current financial year (FY17) which was 32% higher over corresponding period last year (CPLY). In the second quarter, SAIL also recorded the highest ever Q2 saleable steel production at 3.492 MT, with a growth of 31% over CPLY.

In the first half of the financial year 2016-17, SAIL registered an 18% growth in sales, a 20% rise in saleable steel production and an improvement in market share by 12.7%. Also in keeping with its focus to increase global footprint, SAILs exports more than doubled in H1.