NALCO reports decline in profits despite strong sales in FY23

NALCO profits decline: National Aluminium Company Ltd (NALCO) reported sales of Rs 14,171 crore and a net profit of Rs 1,544 crore in the fiscal year 2022-23, according to a company official on Thursday. The leading aluminium company achieved an export turnover of Rs 4,217 crore during this period.

However, in the previous financial year 2021-22, NALCO achieved its highest-ever sales of Rs 14,181 crore and a record net profit of Rs 2,952 crore, the official added. During the company's 42nd annual general meeting held in virtual mode on Thursday, the annual accounts for 2022-23 were approved.

Higher input costs affecting profit margins

NALCO's profit margins have been affected due to higher input costs, business environment volatility, and global demand-supply dynamics, even though the company experienced growth on various fronts in FY 2022-23, said CMD Sridhar Patra while addressing shareholders at the AGM.

He highlighted the company's current focus on the early completion of the 5th stream refinery project and the development of the Pottangi Bauxite Mines.

NALCO, based in Odisha, is one of the largest integrated aluminium producers in India. In the June quarter, the company witnessed a 40 per cent decline in consolidated net profit to Rs 333.76 crore due to lower income, as compared to a net profit of Rs 557.91 crore in the same quarter of the previous year, according to a regulatory filing made last month.

(With PTI inputs)