The company made forex gains of Rs. 42 crore during the July-September quarter due to volatility in dollar-rupee exchange rates against Rs. 509 crore a year ago.
Sales fell by 1.6% at Rs. 10,663 crore during the quarter from Rs. 10,837 crore in the same quarter of the previous fiscal year.
Expenses increased marginally to Rs. 10,114 crore during the second quarter, while tax outgo declined nearly 11% at Rs. 245 crore.
However, its other income (mainly interest earned on cash deposits) fell by 54% at R226 crore during the quarter under review.
"Higher production along with improvement in key economic parametres gave us profitability gains," said CS Verma, chairman, SAIL. "We are optimistic about Indian steel industry's growth."