Welspun Corp (WCL), the flagship company of the Welspun Group, today posted a 89 per cent decline in profit after tax (PAT) at Rs 5.2 crore for the second quarter of this financial year.
The company's PAT stood at Rs 45.5 crore during the corresponding quarter of the last fiscal, WCL said in a release issued here today.
The sales for the quarter under review grew by 10 per cent to Rs 2,398 crore as compared to Rs 2,179.1 crore in the same quarter last year.
"We have a strong order book in excess of 1 million tonnes and in addition to that, we have submitted bids for around 4 million tonnes. The improved demand-supply balance in the global market should help our realisation and margins going forward and we are confident that this will translate to better financial results in the next year," Welspun Corp Chairman B K Goenka said.
Going forward, the uptick in North American and South American market (especially the USA), appears to be sustainable with the outlook looking promising in the next year and beyond, he said.
For Indian plants, the export market would continue to be the major driver in the near term, he said adding that, "As far as the domestic market is concerned, we expect some of the anticipated projects to become business relevant in the medium term".
The plate and coil division became operational in Q2 FY15, largely for captive consumption, and it is expected to continue operations in Q3 FY15 as well, he said.
