Shyam Metalics' Profit Dips Amid Rising Expenses

Shyam Metalics and Energy Ltd reported a significant 55% drop in net profit for the September quarter, down to Rs 215.68 crore, due to increased expenses. Despite a rise in total income to Rs 3,708.61 crore, expenses rose to Rs 3,227.42 crore over the same period.

In a development impacting its financial performance, Shyam Metalics and Energy Ltd (SMEL) announced a pronounced 55% decrease in its consolidated net profit for the September quarter, amounting to Rs 215.68 crore. The decline has been attributed to heightened expenses, as disclosed in the company's recent exchange filing.

The report highlights a stark contrast to the Rs 481.97 crore profit recorded during the same period in 2023, signaling a significant financial adjustment for the renowned manufacturer of long-steel products and ferro alloys. The company's total income witnessed an incline, reaching Rs 3,708.61 crore this quarter, compared to Rs 2,978.93 crore during the corresponding quarter of the last fiscal year.

However, this rise in income was overshadowed by escalating expenses, which surged to Rs 3,227.42 crore from the previous year's Rs 2,633.59 crore. The financial update underscores the challenging economic environment faced by SMEL amidst fluctuating market conditions.

(With inputs from agencies.)