Stainless steel-maker Varun Industries today reported a net profit of 15.40 crore for the quarter ended September 30, 2011, a growth of 24% vis-a-vis the corresponding period of the previous fiscal.
The company had posted a net profit of Rs 12.40 crore for the corresponding quarter last fiscal.
Net sales of the company grew by 2% to Rs 903.60 crore during the quarter from Rs 886 crore in the July-September quarter of FY11, it said in a filing to the Bombay Stock Exchange.
"Our total growth target for the fiscal is 15% and we are in line with our target. In percentage terms, it may look small, but in absolute numbers, we are on our target," a company spokesperson said.
He added that the company experienced accelerated growth in the corresponding quarter last fiscal, as the global economy was in good shape and Varun Industries had ventured into commodities trading.
In a statement, the company said reserves of rare earth elements it found in Madagascar in July are "substantially higher" than the earlier estimate of 266.8 million tonne.
During the quarter, the company also commissioned new wind turbines with a combined capacity of 5 MW under its windmill project in Jaisalmer, Rajasthan, thereby increasing its total wind power generation capacity to 13.95 MW.
Shares of the company were being traded at Rs 274 per share on the BSE at 1355 hours, up 2.70% from their previous close.
