Following the release of Steel Authority of India Limited (SAIL)'s fourth-quarter results, the company's shares experienced a surge. Profit increased by 11% year-on-year, reaching ₹1,251 crore. Revenue also saw a 5% rise. A dividend of ₹1.60 per share has been declared. However, increased expenses led to a decrease in annual profit.
SAIL Results: Share Prices Surge
Steel giant SAIL released its financial results for the fourth quarter of fiscal year 2024-25. Following the announcement on Thursday, the company's shares saw a significant increase. On the National Stock Exchange (NSE), SAIL shares rose by 2.2%, closing at ₹131.8. Over the past three months, the company's shares have appreciated by 23%. However, they remain 21% down over the past year. The company's current market capitalization stands at ₹53,195 crore.
Fourth-Quarter Profit and Revenue Growth
In the fourth quarter of fiscal year 2024-25, SAIL's adjusted net profit increased by 11% to ₹1,251 crore, compared to ₹1,125 crore in the same period last year. Operational revenue grew by 5% to ₹27,959 crore, up from ₹26,474 crore the previous year.
On a quarter-on-quarter (QoQ) basis, the company's post-tax profit saw a substantial increase of 781%, rising from ₹142 crore to ₹1,251 crore. Revenue also increased by 20%, from ₹24,490 crore in the previous quarter.
Increased Expenses Pressure Profit
SAIL incurred total expenses of ₹28,021 crore this quarter, compared to ₹24,560 crore in the previous quarter (October-December 2024) and ₹26,474 crore in the same quarter of the previous year.
For the full fiscal year 2024-25, SAIL's post-tax profit was ₹2,372 crore, lower than the ₹3,067 crore reported in the previous fiscal year. According to the company, this decrease in profit is primarily attributed to increased expenses, which were particularly high in the quarter ending March 2025.
Dividend Announcement
SAIL's Board of Directors has proposed a dividend of ₹1.60 per equity share for the year. This dividend will be distributed within 30 days of shareholder approval at the company's Annual General Meeting (AGM).
