Steel Authority of India (SAIL) is looking forward for better realization in FY14 as it expects that steel price will improve during the current fiscal. The company expects improvement in EBITA margins in the Q1 period FY 2014. In Q4 2012-13, EBITA margin was 9.3%. Besides, Q4 of 2012-13 had a one time hit of Rs 523 crore due to actuarial revaluation which pulled down the profits.
SAIL would also be making the country’s largest blast furnance located at Rourkela operational in the next 10 days. In the current fiscal, the capacity will increase to 19 million tonne from 14 million tonne. In the next 18 months, the capacity will be further augmented to 24 million tonne. The steel major had invested Rs 45,000 crore out of 62,000 crore for the expansion. The capex for FY14 would be to the tune of Rs 11,500 crore.
SAIL has recorded best-ever production of saleable steel for May at 1.087 million tonnes (MT), up by 11% over the corresponding month previous year. The production of value added and special steel too surged around 8% during the month against the corresponding month of the last year.
