India's largest steel maker Steel Authority of India Ltd (SAIL) on Monday reported a 43% year-on-year decline in net profit at Rs 632 crore for the October-December quarter, as higher imput costs and adverse foreign exchange movement ate into the company's profitability.
The firm's turnover during the three month period also declined by almost 5% to Rs 11,686 crore against Rs 12,277 crore in the year-ago period. The company suffered an impact of Rs 578 crore during the quarter as a result of the increase in coal prices and another Rs 499 crore due to adverse foreign exchange fluctuations.
Its raw material consumption during the quarter grew 14% year-on-year to Rs 5991 crore compared to Rs 5,262 crore a year ago.
Shares ended down 2.4% to Rs 110 on the Bombay Stock Exchange.
The firm announced an investment of Rs 14,500 crore towards enhancing its capacity and setting up new plants in 2012-13.