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Prakash Industries Ltd. Earnings Release 2019
61790_rns_2019-11-06_03005f57-5f20-4e95-b9a7-686171cf3004.pdf
Earnings Release
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Prakash Industries Limited
Srivan, Bijwasan, New Delhi -110061 CIN: L27109HR1980PLC010724 Tel. : 25305800, 28062115 Fax: 91-11-28062119 E-mail : [email protected] Website : www.prakash.com
PIL/SE/PR-2/2019
61 hNovember, 2019
Listing Department National Stock Exchange of India Ltd Exchange Plaza, 5th Floor, Plot No. C/1 G Block,Bandra-Kurla Complex, Sandra (E) Mumbai - 400051
Company Symbol : PRAKASH
Listing Department BSE Ltd. Phiroze Jeejeebhoy Towers Dalal Street Mumbai - 400001
Company Code : 506022
I
Sub: Press Release
Dear Sir,
In terms of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing a press release given today by the Company for your information and record.
Thanking you ,
Yours faithfully, For Prakash Industries Limited
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Ashwini Kumar Company Secretary
Encls : as above
PRESS RELEASE
Date: 5th November, 2019
PRAKASH INDUSTRIES LIMITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 30th SEPTEMBER, 2019
During the quarter, the Company has achieved Net Sales of Rs. 762 Crores and EBITDA of Rs. 89 Crores. After providing for interest, depreciation and tax, the Net Profit of the Company for the quarter is Rs. 32 Crores.
Highlights:
• Record Quarterly Production
The Sponge Iron division and Finished Steel division achieved highest ever quarterly production of 2.05 lakh tonnes and 2.16 lakh tonnes respectively during Q2FY20, up by around 10% over Q2FY19.
• Expansion in Sponge Iron and Power Co-Generation capacity
The Company has commissioned its 61 hSponge Iron Rotary Kiln and the commercial production has started. The Kiln has a capacity of 2 lakh tonnes per annum of sponge iron and 15 MW of power through co-generation by recovering the waste heat froQ1 the kiln. The commercial production from the new Sponge Iron Rotary Kiln with additional power will result in significant cost savings to the Company.
• Expansion in Steel Melting Shop (SMS) capacity
The Company has expanded the installed capacity in its SMS division by commissioning 4 nos. new energy efficient Induction Furnaces. The enhanced capacity now stands at 1.176 million tonnes per annum. The installation of these Induction Furnaces will result in further cost savings to the Company.
• Commencement of Captive Iron Ore Mining operations
The Company has commenced the mining operations at its Sirkaguttu Iron and Manganese ore mine in the state of Odisha and the extraction of minerals from the mine is expected to scale up within November, 2019. This is an important mile stone for the Company and will result in significant cost reduction in the cost of iron ore, which is a key input for steel making.
• Emerges as Highest Bidder for Bhaskarpara Coal Mine
The Company today participated in the 81 htranche of Coal Blocks auction, conducted by Ministry of Coal and has emerged as the highest bidder for the Bhaskarpara Coal Mine, which is nearby to our Integrated Steel Plant at Champa (Chhattisgarh). The mine has an extractable reserve of 24.06 Million tonnes. It is expected that the vesting order for the mine by the Nominated Authority of Ministry of Coal may be issued to the Company in the due course of time. Availability of coal from the Bhaskarpara Coal Mine will substantially enhance the operating margins of the Company.
Disclaimer: This release contains forward-looking statements based on the currently held beliefs and assumptions of the management of Prakash Industries Limited {PIL), which are expressed in good faith and, in their opinion, reasonable. Forward looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or industry ·'. . ' < \ results, to differ materially from the results or perf ormance implied by such forward-looking statements. Given these risks, uncertainties and ::,;; "[ ~· t'f l ~\ ~; other factors, recipients of this document ore cautioned not to place undue reliance on these forward-looking statements. '·.1l "' ' -11