Visa Steel sees Rs18-20 billion revenue in FY11

Visa steel has already raised Rs400 crore, which it intends to invest during FY11 at a debt/equity ratio of 65:25. It is planning to set up a sinter and a pellet plant with a capacity of 1 million tonne during the current financial year.

The company has already acquired 350 acres of land for its proposed 1 million tonne steel unit in Chhattisgarh and plans to start the work by December 2010. It is nearing completion of its special steel plant a Kalinganangar in Orissa and is also close to financial closure of its joint venture with Baosteel

The company reported a Jan-Mar net profit of Rs165.1 million compared to a loss of Rs1.1 billion in the corresponding period last year. Its revenue during Q4FY10 increased by 37.5% to Rs399 crore from Rs290 crore during the corresponding quarter last year.

On yearly basis, the company registered a revenue growth of 12.59% to Rs 1,171.48 crore. EBIDTA grew by 635.15% to Rs 197.63 crore while net profit during FY10 stood at Rs 47.42 crore compared to a loss of Rs 66.81 crore during FY09.