Yearly Net profit doubles, but Quarterly net profit drops by 64%
Bhubaneswar : On achieving the global benchmark of low cost producer in Bauxite Mining and Alumina making, National Aluminium Company Limited (NALCO), a Navratna PSU under Ministry of Mines, Government of India, has proved its mettle by registering high in terms of both physical and financial performances.
According to the audited financial results for 2017-18, taken on record by the Board of Directors in a meeting held here on 26th May 2018, during the FY 2017-18, NALCO has registered more than 100% growth i.e., Rs. 1342.19 crore against Rs. 669 crore in previous year. In 4th quarter the Company has earned a net profit of Rs. 257.06 crore. During the year, NALCO was the third highest net Foreign Exchange Earning CPSE in the Country. The Net sales turnover for the year is Rs. 9,377 crore (highest ever since inception) registering a growth of 26 % over last year. Export earning of Rs. 4,076 crore also highest ever since inception registering a growth of 12 % over last year.
However, Quarterly net profit witness whopping 64% drop in the January-March quarter over the previous quarter mainly due to one time employee expenses . The net profit in the 4th Quarter has dropped to Rs. 257 Crore from Rs.721.78 Crore in the 3rd Quarter.
Speaking on this achievement of the company, Dr. Tapan Kumar Chand, CMD, NALCO, said, “Year 2017-18 has been a very rewarding year for NALCO on all fronts. We are looking beyond earning just profits. We have improved on all parameters – record production, highest sales and turnover. While focusing on the present, we are ensuring we don’t lose sight of what the future holds. We are introducing a Game Changing Business Model that will bring additional Rs.935 crore net profit to the Company. The model provides for focusing operation of Utkal-D, end of 2nd Qtr 2019, commissioning of 1 million tonne of Alumina Refinery, setting up of Wire Rod Mill 3, bringing into stream Caustic Soda Plant, CT Pitch Plant, etc.
Dr. Chand pitched for support to Mother Plant like NALCO for achieving global competitiveness and Mother Plant in turn to promote employment and employability eco system. He cited Angul Aluminium Park as a concrete step for setting up employment ecosystem. He also informed that NALCO is making tie up with ALMEX of USA to set up high end value products. NALCO will also be promoting micro & small industries in downstream through a cash less model of providing aluminium ingot and taking back finished products for marketing by NALCO. Such hand holding by NALCO is bound to make these micro & small industries viable and thereby creating substantial number of employment and warming up business environment in Odisha.
While congratulating NALCO Collective for the stellar performance, Dr. Chand also informed about the new projects in pipeline and the company’s growth plans.