Tata Steel Ltd., Asia's fourth and India's largest private sector steel company, reported a sharp fall in its consolidated net profit for the fourth-quarter, despite flat income. In the preceding year quarter, net profit was positively impacted by a one-time gain on restructuring, impairment and disposal costs.
Consolidated Results
The Mumbai-based company posted fourth-quarter consolidated net profit, after minority interest and share of profit of associates, of Rs.433.46 crore or Rs.4.02 per share, compared with Rs.4,175.60 crore or Rs.41.35 per share in Q4FY11, reflecting a 90 percent drop.
Results for the preceding year quarter included a one-time gain of Rs.2,279.37 crore on restructuring, impairment and disposal costs.
Net income from operations was Rs.33,860.08 crore, flat from last year's Rs.33,442.66 crore in the year-ago quarter, while other operating income totaled Rs.138.49 crore, compared with Rs.381.13 crore in Q4FY11.
For the quarter, income from 'Steel Business' was Rs.32,272.73 crore, flat from last year's Rs.31,967.40 core a year-ago, while that from 'Others' and 'Unallocated' was Rs.3,866.27 crore, down by two percent from the Rs.3,961.71 crore last year. Income from 'Others' was Rs.396.97 crore, compared with Rs.381.25 crore last year.
For the fiscal year, its net profit was Rs.5,389.77 crore, a decline of 40 percent over last year's Rs.8,982.69 crore. Total income, including other operating income, totaled Rs.132,899.70 crore, compared with Rs.118,753.12 crore, an increase of 12 percent.
The results for the year included a gain of Rs.3,361.92 crore, compared with Rs.735.69 crore in 2011 towards profit on sale of non current investments. The results for the previous year included a gain of Rs.2,310.21 crore towards restructuring, impairment and disposals costs.
Stand-alone Results
The company reported fourth-quarter stand-alone net profit of Rs.1,560.51 crore, lower by nine percent than the Rs.1,707.71 crore for the quarter ended March 31 last year. On a per share basis, earnings for the quarter declined by eight percent to Rs.15.45 from the Rs.16.76 in Q4FY11.
Net income from operations totaled Rs.9,375.91 crore, up by 14 percent from the Rs.8,239.41 crore in Q4FY11, while other operating income amounted to Rs.103.52 crore, compared with Rs.101.36 crore in the year-ago quarter.
For the fiscal year, its stand-alone net profit stood at Rs.6,696.42 crore, compared with Rs.6,865.69 crore last year, reflecting a two percent decline. Total income, including other operating income, totaled Rs.33,933.46 crore, up by percent from the Rs.29,396.35 crore in the previous year.
Source: RTT News