Visa Steel, part of the Rs 4,000-crore Visa Group, has reported a net profit of Rs 20.10 crore for the July-September quarter of the current fiscal, an increase of 482% over Rs 3.45 crore in the corresponding period of 2007-08. Revenue grew 115% to Rs 331.14 crore.
?Visa Steel?s financial performance during the second quarter grew as a result of improved performance from the LAM coke and ferro chrome businesses. However, performance in the third and fourth quarters may get adversely affected owing to global financial crisis, sharp correction in commodity prices and slowdown in demand,? managing director Vishal Agarwal said.
The company on October 30 announced its unaudited financial results following the board meeting held in New Delhi.
Visa Steel currently produces pig iron, LAM coke, ferro chrome and sponge iron, and is setting up a special and stainless steel plant at the Kalinga Nagar Industrial Complex in Orissa. The company generates power as well. The Visa Group has business interests in steel, power, international trading, shipping and logistics.
During the quarter under review, LAM coke production increased to 82,735 mt compared with 43,894 mt during the corresponding period of the previous fiscal. Ferro chrome production was 8,745 mt as against 186 mt produced in the year-ago period. Hot metal production increased to 30,477 mt from 13,491 mt.
During the July-September period, Visa Steel commissioned a 150,000 TPA sponge iron plant and a 25mw plant.