Tisco net profit stumbles

MUMBAI, Oct 29: The net profit of the Tata Iron and Steel Company (Tisco) has crashed for the six-month of the current fiscal to Rs 69.23 crore from Rs 110.89 crore recorded in the same period of previous fiscal. The turnover of the company fell to Rs 1,464.77 crore in the period under review from Rs 1,620.43 crore.

Tisco has attributed the slowdown of the economy for the sagging results. “The slowdown which commenced two years ago continues and has impacted the half yearly results of the company. While volumes and sales during the first six months of 1998-99 increased marginally, the net realisations were lower and income from operations came down by 6.60 per cent,” it says.

For the second quarter ended September 1998, the company witnessed its profit improve to Rs 69.23 crore against Rs 27.09 crore in the first quarter ended June 30, 1998.

In volume terms, net sales were 1,286,838 tonnes for April-September 1998 as against 1,239,405 tonnes in the corresponding period last year. Despite severecompetition both in the domestic and international markets, the company was able to increase its sales tonnage by four per cent, the company said.