Prakash Industries Q2FY22 net profit zooms 371 per cent on YOY basis

The company plans to further enhance the production capacity in the following quarters which shall also contribute significantly to the margins of the company.

During the quarter ended September 30, 2021, Prakash Industries achieved net sales of Rs 894 crore and EBITDA of Rs 101 crore, reflecting growth of 17 per cent and 55 per cent respectively over the corresponding quarter of the last financial year. Profit after tax (PAT) for the quarter also grew by a whopping 371 per cent on a year-on-year basis to Rs 43 crore.

During the half-year ended September 30, 2021, the company has achieved net sales of Rs 1924 crore and EBITDA of Rs 200 crore, reflecting growth of 49 per cent and 58 per cent respectively over the corresponding period of last financial year. Profit after tax for the half-year also grew by 579 per cent on an annual basis to Rs 84 crore.

The company has mined approximately 1.8 lakh tons of Iron Ore from its Sirkaguttu mine located in Odisha during the quarter, up by 112 per cent over the corresponding quarter of last financial year. The company plans to further enhance the production capacity in the following quarters which shall also contribute significantly to the margins of the company.

The company has been declared as the ‘successful bidder’ in respect of Bhaskarpara Coal Mine in the 12th tranche of auction of Coal Mines under Coal Mines (Special Provisions) Act, 2015 for commercial mining. The coal extracted from this mine could be used for captive consumption as well as for commercial sale. The timely opening of the mine shall come as a great respite in the current scenario marked by global coal shortage and spiralling prices, thereby resulting in uninterrupted supplies of coal and significant gains to the company.

Prakash Industries Ltd was founded in the year 1980 with a focused vision in the core competence areas of mining, steel and power. The company is rapidly carving its niche in the Indian steel industry and has emerged as one of the key producers of value-added steel products in the country. For the highest value addition, the company has always emphasized forward and backward integration.