New Delhi, July 25 (NVI) Government-owned Steel Authority of India (SAIL) has posted 10.4 per cent sequential fall in consolidated net profit to Rs 1,644 crore for the June quarter of the current financial year 2026-27.
The decline is due to lower sales volumes which weighed on revenue despite an improvement in operating margins.
The company reported other income of Rs 206 crore, which is down from Rs 352 crore in the preceding quarter.
Ebitda declined 5.8 per cent to Rs 4,153 crore, reflecting lower turnover during the period.
Revenue from operations fell 14.8 per cent quarter-on-quarter to Rs 26,246 crore, compared with Rs 30,813 crore in the March quarter.
Despite the decline in revenue and earnings, SAIL’s operating performance improved, with Ebitda margin expanding by 150 basis points to 15.8 per cent, up from 14.3 per cent in the previous quarter.
The margin expansion indicates better cost management and operational efficiency amid a challenging market environment.
SAIL said its June quarter results included a one-time cost of Rs 144 crore, which weighed on profitability during the period. Excluding this exceptional item, the company’s earnings would have been stronger.
During the quarter, crude steel production stood at 4.76 million tonnes, compared with 5.08 million tonnes in the previous quarter, while sales volume declined to 4.16 million tonnes from 5.32 million tonnes.
The moderation in production and dispatches contributed to the sequential decline in revenue.
However, on a year-on-year basis, SAIL’s performance remained significantly stronger, with the company reporting a 138 per cent increase in net profit compared with the corresponding quarter of FY26, reflecting improved steel realisations and operational performance over the past year.
SAIL shares closed 0.34 per cent higher at Rs 161.45 on the NSE on Friday, outperforming the benchmark Nifty 50, which ended 0.43 per cent lower.
The stock has gained nearly 10 per cent year-to-date and over 18 per cent during the past 12 months, reflecting investor confidence in the PSU steelmaker’s long-term prospects. (NVI)
