Steel Authority Chief Says Company Poised For Next Level Of Expansion

Maharatna steel behemoth Steel Authority of India Limited (SAIL) said on Tuesday that it is prepared to move towards the next level of its expansion programme.

Addressing the state-owned entity's annual general meeting, chairperson Soma Mondal said that the current financial year will be a period of growth as the company posted its highest earnings before interest, taxes, depreciation and amortization or EBITDA of Rs 13,740 crore which was 23 per cent more than that of previous fiscal.

This, she said, helped in improving the company's profit margins as there were higher sale of secondary products and iron ore fines.

Other factors which helped in improving SAIL's profitability, included improvement in techno-economic parameters, reduced purchased power rates, fall in interest rates and gains in foreign exchange, Ms Mondal informed the meeting.

She further pointed out that the profit before tax or PBT was at its highest in the last 10 years.

Despite challenges posed by the Coronavirus pandemic, she said that SAIL took several measures to reduce its economic impact.

Some of these measures were optimal usage of its operational facilities rather than putting to use larger number of facilities, the chairperson said.

The company also cut down on its consumption levels and was able to reduce costs, Ms Mondal told shareholders.