Jai Balaji Industries Limited Reports Impressive Performance Net Profit clocks at Rs. 23.59 crores

Jai Balaji Industries Limited, (formerly Jai Balaji Sponge Limited) the flagship company of the Kolkata based Steel manufacturer Jai Balaji Group, today announced its results for the quarter ended June 30, 2007. It is to be noted that this is for the first time the financial results are being declared after the merger of the Group’s flagship company, Shri Ramrupai Balaji Steels Limited with Jai Balaji Industries Limited. With this merger, the Group has become the largest private sector player in Steel manufacturing in West Bengal.

Results Overview Quarter-ended July 2007

Particulars
July 30, 2006
Net Sales (Rs in Crores) 250.73
Profit Before Tax (Rs in Crores) 35.78
Profit After Tax (Rs in Crores) 23.59
EPS (in Rs) 5.01

Commenting on the performance Mr. Aditya Jajodia, Chairman & Managing Director, Jai Balaji Industries Ltd., said:

“We have had a rather successful year, where revenues have been driven by growth across various segments with better earnings through improved volume, productivity and enriched product mix. We foresee attractive business opportunities given the strength of our operations and encouraging levels of demand. It is primarily with this mindset that we are acquiring some other steel businesses outside West Bengal. Such acquisitions shall mark the beginning of our Group’s foray on a pan-India basis. We remain positive on the performance outlook going forward.”

Recently, the Group has acquired the LNJ Bhilwara group company HEG’s steel business. The unit produces steel billets with a production capacity of 1 lakh tonne per annum and is located at Durg in Chattisgarh. It has also acquired the entire shareholding of Nilachal Iron & Power (NIPL), a sponge iron manufacturing company at Jamshedpur.

Plans are on to set up one Industrial Park and Special Economic Zone (SEZ) in West Bengal for Steel Processing Units and Automobile Components.

Jai Balaji Group’s Jai Balaji Industries Ltd. became the first company from Bengal in the steel sector, to be eligible for trading in carbon credit is making headlines with the commissioning up of its power plant based on waste heat recovery and to get it registered with UNFCCC under CDM project activity on 17th July, 2006. The company is now eligible for carbon credits and has been allocated 46,387 CERs per year over a period of 10 years.