Tata Steel has emerged as the country's most profitable private company in the second quarter as well as in the first half of this financial year after the integration of European steel maker Corus with it.
In the second quarter ended September, the company's consolidated net profit has risen 216 per cent rise to Rs 4,703.64 crore as a result of cost cutting and performance improvement. Thanks to the higher steel prices, net sales have increased 36.24 per cent to Rs 44,198.97 crore. Reliance Industries was the largest profit-making private firm in the country until last financial year. With a surprise performance, Tata Steel has overtaken the oil refiner, which posted Rs 4,122 crore profit in the second quarter, by Rs 581.64 crore. In the first half, Tata Steel posted Rs 8,618.26 crore profit, up by 121 per cent, while Reliance ended second with Rs 8,232 crore.
Mukesh Ambani-led company has maintained its top position as the privalargest revenue generating te firm in India. Public sector firm Oil and Natural Gas Corporation (ONGC) is India's largest profit maker in the second quarter with Rs 4,808 crore.
"The result was good as prices for steel were fairly stable in the September quarter. Our operating margins at 17.6 per cent also improved from the 15.2 per cent in the corresponding quarter last year because of cost control measures and integration benefits," said B Muthuraman, managing director of Tata Steel.