Mineral-to-metals company, Visa Steel registered a net profit of Rs 20.99 crore in the fourth quarter of the year. The company plans to set up a 2.5 million tonne integrated steel project in Chhattisgarh at a cost of around Rs 10,000 crore, Chairman Vishambhar Saran said on Wednesday.
Saran told a news conference, while announcing the results, that a feasibility survey was underway and would be completed by end-July A one million tonne rolling mill would be set up in the first phase at a cost of Rs 500 crore to Rs 600 crore and the project would be completed over a period of 5-6 years.Visa plans to integrate backwards into mining iron ore, chrome ore and coal. Iron ore is currently sourced from the Orissa Mining Corporation.
The company has so far invested around Rs 1,000 crore in pig iron, coke and ferro-chrome projects. The chairman said orders worth Rs 800 crore had been placed for further expansion in Orissa. Visa Steel registered a profit after tax of Rs 20.99 crore in the fourth quarter ended March 31,
2008 as compared with Rs 0.65 crore in the corresponding period last year. Revenues were at Rs 259.66 crore, an increase of 78 per cent. Agarwal said that the performance was driven by better realizations across products like pig iron, coke and ferro-chrome, with higher volume growth in the coke and ferro-chrome operations.
For the full year ended March 31, 2008, profit after tax was at Rs 43.15 crore, a 110 per cent increase, while revenues at Rs 682.81 crore were higher by 27 per cent. Sponge iron and power plants would contribute to revenues and profits from the second quarter of the current financial year. The outlook for saleable products such as pig iron, LAM coke was positive, Agarwal said.
More From This Section
IVRCL Infra Q4 net flat at Rs 73.30 cr
City-based IVRCL Infrastructures and Projects has registered a net profit of Rs 73.30 crore for the fourth quarter ended March 31, 2008, nearly flat from the Rs 73.23 crore in the previous corresponding period. Total income increased 33.28 per cent to Rs 1,322.86 crore in the period from Rs 992.50 crore in the corresponding period last year.
Net profit for the full year was at Rs 331.92 crore, as compared with Rs 174.37 crore in the previous year, an increase of 90.35 per cent. Total income grew 68.72 per cent from Rs 2,505.89 crore to Rs 4,227.97 crore. IVRCL, which operates in water and environment, transportation, buildings and industrial structures and power sectors, has an order book of Rs 12,241 crore.
REC's FY08 net at Rs 860.14 cr
State-run Rural Electrification Corp has announced a consolidated net profit of Rs 860.14 crore for the year ended March 31, a growth of 30.27 per cent over the previous year. The income of the organisation, announced on Monday, for the year ended March 31 stood at Rs 3,541.25 crore, a growth of 23.95 per cent over the previous year.
The board has recommended a dividend of 30 per cent to the shareholders. REC has disbursed a subsidy of Rs 3,350 crore and a loan of Rs 401 crore under Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY). The government on May 5 granted Navratna status to REC, giving it financial and administrative autonomy.
The company can now take decisions of investing up to 1,000 crore or 15 per cent of its net worth independently. It would now be able to expand its electricity business in the rural areas. REC is the 16th PSU to have been named as the Navratna firm.