In a statement, the company said despite a slowdown in steel industry demand for its product has remained intact. Manufacturing EBITDA for the first half of the year stood at Rs 120 crore with margin of 13.8%.
The Arjas steel plant at Tadipatri, in Anantapur district of Andhra Pradesh, has an installed capacity of 300,000 tonnes of special steel long products per year, focused on automotive, defence, railways and related industries. The initial plan is to increase the capacity to 350,00 to 375,000 tonnes.
EBITDA went down to Rs 46.53 crore in Q2FY20 against Rs 86.53 crore in Q1FY20.
HZL’s half yearly net went up 3% to Rs 3,846 crore.
It comes at a time when Railways has decided on a massive modernization to replace aging infrastructure. It followed the collapse of the FoB at the northern end of Mumbai's Chhatrapati Shivaji Maharaj Terminus earlier this year.
ICICI Securities, in its research report, said that renewal of mining leases in March 2o20 is a golden opportunity for the National Mineral Development Corp to permanently enhance its mining share in domestic iron ore production.
The capacity addition follows robust demand for Kamdhenu Structural Steel, its key infrastrucre steel product, in western UP and adjoining areas.
Domestic steel prices have followed the declining global prices with hot rolled coil prices falling 19% yoy in August 2019, a drop of 12% from March 2019, the report said.
The company's plan was stated by Naveen Jindal, chairman, at JSPL's 40th AGM in Hisar on September 27, 2019.
"Global steel prices dropped 13 per cent in the first eight months of 2019 due to weak demand"
- No blogs yet have been written by the author, we’re sure the author will contribute one soon