Tata Metaliks records 40% rise in Q2 profit
Kolkata: Tata Metaliks Limited recentlay declared its Financial Results for the second quarter of FY19. TML recorded a turnover of Rs. 547 crores and Profit before Tax(PAT) of Rs 63.02 crores for the quarter ended September 30, 2018. For the half year ended September 30, 2018 TML recorded a turnover of Rs 1,015 crores and PAT of Rs 104.48 crores.
While DI pipe sales volume in Q2FY19 increased by 11 per cent over Q2 FY18 on account of improved market and sales planning, the increase in sales of Pig Iron was marginal at 3 per cent.
The increased sales volume of both the products were supported by higher price realization of 9 per cent for DI pipes and 21 per cent for Pig Iron in Q2 FY19 over same quarter of the previous year. However, there was a cost push by way of increase in prices of iron ore, coal and coke. The above increase in sales coupled with improved cost efficiencies particularly in usage of coke helped the company achieve a significant jump in EBITDA by 30 per cent over Q2 FY18.
Managing Director Sandeep Kumar, said, "The Company's significantly improved financial performance in Q2 FY19 has been primarily driven by our continued focus on achieving cost leadership through operational and structural cost reduction initiatives despite volatility in commodity prices. The outlook for H2 looks positive with likely demand pick-up of DI pipes."