Jindal Stainless FY07 net up, will open service centres overseas

New Delhi, May 28 (UNI) Riding high on the soaring steel demand, Jindal Stainlees Ltd (JSL) today announced a 121 per cent growth in net profit at Rs 353.01 crore for the year ended March 2007 as compared to Rs 159.73 crore for the same period last fiscal.

The gross turnover, stood at Rs 5,267.8 crore, up by 51 per cent, from Rs 3,494.61 crore for the said period last year. The gross turnover was mainly influenced by growth in export and domestic sales by 93 per cent and 29 per cent respectively.

''The results are outcome of our improved product mix, cost savings achieved through optimised operations, efficient procurement and stabalising of ferro alloys operations in our plant in Orissa,'' JSL Vice Chairman and Managing Director Ratan Jindal told reporters here.

''Going by the past year's experience, if nickel prices remain firm we can see 20-30 per cent growth in the bottomline,'' he added.

Talking about the expansion plans, Mr Jindal said the company will invest Rs 5,600 crore in the second phase of the Greenfield project in Orissa to increase its capacity to 0.8 million tonnes.

''We have already invested Rs 2,250 crore in the phase one which is nearing completion,'' he told newsmen.

To meet specific requirements in silting, cut to length, blanks for the customers in the consumer durable and automotive segments the company will open new service centres in Mumbai, Chennai, Gujrat and overseas.

''To tap the overseas market we will open two service centres in Europe and one in Mexico shortly,'' he said.

The company currently had a service centre at Manesar in Haryana.

It will also expand its PT Jindal Stainless in Indonesia and enhance the cold rolling capacity to 1,50,000 tonnes from 65,000 tonnes.

UNI