Indias largest steel company, JSW Steel Ltd., recorded a
net loss of $36.57 million for the three months ended June 30
in contrast to net income of $44.37 million in the same period
The company attributed
the fiscal first-quarter loss to unusual depreciation in the
value of the Indian rupee against the U.S. dollar. "This loss
is considered to be exceptional in nature, as there was a net
translation loss of $140.6 million on restatement of foreign
currency monetary items at the close of the quarter," JSW Steel
JSW Steel posted a
33.6-percent increase in crude steel production to 2.86 million
tonnes from 2.14 million tonnes a year ago.
"Indian steel demand
in (the fiscal) first quarter remained flat at 0.3 percent
year-on-year growth as overall economic activities like
industrial production was weak," chief financial officer
Seshagiri Rao said. "However, a good monsoon can drive
consumption which will, in turn, support a revival of steel
demand growth in India."
JSW recorded a
3-percent increase in gross turnover to $1.67 billion and a
2-percent increase in net sales to $1.51 billion in its fiscal
first quarter compared with the same period last year.
JSWs international operations, Rao said that the
companys Chilean iron ore mines produced 210,000 tonnes
and shipped 150,000 tonnes of iron ore concentrate during the
quarter, generating operating earnings before interest, tax,
depreciation and amortization (Ebitda) of $860,000. JSW
Steels U.S. coal mines posted an Ebitda loss of
A version of this article was first published by AMM sister
publciation Steel First.