New Delhi, July 24 (IANS) Steel Authority of India Limited (SAIL) on Friday reported a 10.4 per cent sequential decline in its consolidated net profit for the April-June quarter (Q1 FY27), as lower revenue and other income weighed on the state-run steelmaker’s earnings.
The company posted a consolidated net profit of Rs 1,644 crore for the quarter ended June, compared with Rs 1,835 crore in the January-March quarter (Q4 FY26), according to its stock exchange filing.
Revenue from operations declined 14.8 per cent quarter-on-quarter to Rs 26,246 crore from Rs 30,813 crore.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) fell 5.8 per cent sequentially to Rs 4,153 crore from Rs 4,408 crore.
However, the company’s operating margin improved by 150 basis points to 15.8 per cent from 14.3 per cent in the previous quarter, as per the filing.
Other income also declined sharply to Rs 206 crore during the quarter from Rs 352 crore in the preceding quarter.
The company said the April-June quarter included a one-time cost of Rs 144 crore, which impacted its financial performance.
Despite the weaker quarterly earnings, SAIL shares ended the day 0.34 per cent higher at Rs 161.45 apiece on the National Stock Exchange (NSE), outperforming the benchmark Nifty index, which closed 0.43 per cent lower.
The stock has delivered positive returns to investors over a longer period, rising 9.84 per cent on a year-to-date basis and 18.57 per cent over the past 12 months.
Commenting on the results of the first quarter of the current financial year, Chairman & Managing Director, SAIL, Dr. Ashok Kumar Panda said, “Amid global uncertainties, the domestic steel industry demonstrated resilience backed by sustained demand in domestic steel consumption.”
“SAIL, through enhanced operational efficiencies, prudent cost management and focused marketing initiatives, has delivered a significantly profitable first quarter in FY27. The company remains confident of leveraging robust manufacturing capabilities and continues to strengthen performance while capitalizing on the sustained domestic steel demand,” Panda stated.
–IANS
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