India: TATA Metaliks Pig iron Sales Decline by 27% in Q3 FY19

Tata Metaliks Limited (TML) recent has declared its quarterly and 9 months results ended on 31st Dec'18, in which the company's pig iron sales reported fall of 27% Q-o-Q & 28% Y-o-Y in Q3 FY19.

As per press release, the company's pig iron sales is about 61,503 MT in Q3 FY19, down by 27-28% as against 83,984 MT in Q2 FY19 & 85,045 MT in Q3 FY18.

Similarly in comparison with first 9 months of FY19(Apr-Dec'18), the pig iron sales marked slight fall of 2.5% to 213,880 MT in comparison with 219,673 in Apr-Dec'17(FY18).

The reason behind the fall in pig iron sales in the report stated, higher off take of hot metal for pipe manufacturing and lower production by blast furnaces due to unscheduled shut-downs.

Notably the producer has marked sharp surge in DI pipe sales during Q3 and in comparison with Apr-Dec period.

The pipe sales reported at about 66,536 MT in Q3 FY19 as compared with 50,734 in Q2 FY19 & 52,535 MT in Q3 FY18. Further it went up by more than 13% during Apr-Dec'18 and recorded at 164,312 MT than the 144,846 MT during Apr-Dec'17.

PAT Fell by 1.8%

Tata Metaliks reported fall in its profit after tax (PAT) fell at 39.63 Cr during the Q3 FY19 as against 40.36 CR during corresponding quarter FY18.

Its total income stood at INR 547.63 Cr, higher as compared to INR 490 Cr in Oct-Dec'17 (Q3 FY18).

Tata Metaliks Ltd is a subsidiary of Tata Steel, has manufacturing facilities at Kharagpur, West Bengal, where the company produces pig iron and ductile iron pipes.

-- Tata Metaliks has reduced its pig iron prices by INR 600/MT for Jan'19 deliveries. The latest offers for high silicon(foundry grade) pig iron reported at INR 32,500/MT (USD 459) as against in Dec'18 at INR 33,100/MT (USD 468) ex-plant Kharagpur, eastern India.