An exceptional gain of Rs 1,056 crore in damages over coking supply from its foreign suppliers saw state-run SAIL reporting a 117 per cent jump to Rs 1180.39 crore in standalone net profits for the July-September quarter.
Announcing SAILs standalone results,chairman CS Verma said the steel makers net profits for the second quarter stood at Rs 1,180 crore as compared to Rs 543 crore in the corresponding period last year.
It earned the exceptional amount of Rs 1,056 crore from global mining major Vale towards damages due to non-supply of full quantity of contracted hard coking coal.
However,without this exceptional gain,SAIL would have incurred losses as it sustained a 6.5 per cent dip in sales realisation to Rs 34,230 crore in the second quarter.
Besides,the company has also made a provisioning of Rs 1,150 crore for an impending wage hike of its close to 85,000 non-executives from December 1 this year.
The state-run firms costs were up over 16 per cent to Rs 216.48 crore,while other income declined by over 33 per cent to Rs 152.71 crore in the last quarter. SAILs scrip fell by 1.82 per cent to close at Rs 64.85 on the BSE on Monday.