Steeling its position in the global market
CS Verma Chairman, SAIL
Steel Authority of India Ltd (SAIL) figures among the handful of public sector companies to have been accorded ‘Maharatna’ status by the government. It has delivered some of the stellar quarters in the last few financial years and has entered into several alliances to retain its leadership position in one of the world’s fastest expanding steel market.
The rising raw material prices, however, hit the company’s bottom-line in the just concluding quarter resulting in decline in its profit. Hit by rising input cost, especially coking coal, SAIL posted a 34% dip in its net profit from Rs 1,675 crore in the October-December of the previous fiscal to Rs 1,107 crore in the quarter ending December 2010.
The gross sales turnover of the steelmaker in the reporting quarter were up by 17.5% to Rs 12,276.81 crore over the corresponding period last year buoyed by increased sales, which increased to 3.25 million tonne in Q3 FY’11, a growth of 10.7% over the corresponding period a year ago.
SAIL though seems to be future-ready to retain its leadership position. It has signed a number of alliances for purposes ranging from technical know-how to capacity building in the years to come. For example, the company has signed a memorandum of understanding (MoU) with Kobe Steel of Japan for comprehensive strategic collaboration covering technologies, projects and other areas. The two firms
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