SAIL Rallies Over 13% After Profit Jumps 10 Times In September Quarter

Shares of Steel Authority of India Limited (SAIL) rallied as much as 13 per cent to hit an intraday high of Rs 130.35 after it reported September quarter earnings post market hours on Friday. SAIL's net profit in second quarter of the current financial year jumped a whopping nearly 10 times to Rs 4,339 crore from Rs 436.52 crore in the same period last year. SAIL's revenue from operations advanced 59 per cent to Rs 26,828 crore versus Rs 16,925 crore in the year ago period.

Its earnings before interest, tax, depreciation and amortization (EBITDA) or operating profit advanced 8.14 per cent to Rs 7,290 crore from Rs 6,741 crore.

During the quarter, SAIL's crude steel production came in at 4,468 million tonnes and saleable steel sales came in at 4,280 million tonnes. The company clocked its best-ever quarterly EBITDA, profit before tax and profit after tax, SAIL said in a press release.

The company's gross borrowings were reduced by Rs 12,872 crore to Rs 22,478 crore in the first half of the financial year, the state-run steel maker added.

SAIL's board announced an interim dividend of Rs 4 per share for the current financial year.

SAIL shares have so far this year surged 76 per cent, outperforming the Sensex which has gained 25 per cent.

As of 11:01 am, SAIL shares traded 12.35 per cent higher at Rs 129.20.