New Delhi: SAIL, India's largest steelmaker, on Thursday reported a decline in standalone net loss at Rs 730.72 crore for the quarter ended September 30, helped by a strong marketing push and cost optimisation measures.
The state-run firm had posted a net loss of Rs 1,108.55 crore for the corresponding period a year ago, it said in a filing to the BSE.
Total standalone income of the 'Maharatna' firm rose 21 per cent to Rs 12,577.90 crore in the July-September quarter this fiscal year from Rs 10,378.91 crore in the corresponding quarter of 2015-16.
Total expenses were higher at Rs 13,132.04 crore during the period under review, compared to Rs 11,836.11 crore in the corresponding period last year.
"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 chairman P K Singh said.
In tandem with India's impressive economic growth among large economies, the domestic steel consumption is growing at a faster pace which, coupled with growth oriented policies of the government, will see further improvements in future, he added.
In these difficult market conditions, SAIL management's suitably tailored marketing strategies, customer and market centric approach and the concerted efforts to ramp up production from the modernised facilities resulted in sales growth across all product categories, the steelmaker said.
Also in keeping with its focus to increase global footprint, SAIL's exports more than doubled in the first half this fiscal year, it added.
"SAIL recorded the best ever sales of 3.6 Million Tonnes (MT) in the second quarter of the current financial year which is 32 per cent higher over corresponding period last year (CPLY)," it said.
In the second quarter, the firm also recorded the highest-ever Q2 saleable steel production at 3.492 MT, with a growth of 31 per cent over CPLY, it added.
In the first half of financial year 2016-17, SAIL registered a growth in sales by 18 per cent, saleable steel production by 20 per cent and improvement in market share by 12.7 per cent, the company said.
"Despite an improved physical performance and positive EBIDTA factors like high global coal prices, higher interest and depreciation charges on account of capitalisation of new assets affected the bottom line," it added.
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