NALCO doubles first quarter net profit

NALCO doubles first quarter net profitNet profit of India's largest public sector aluminum producer National Aluminium Co (NALCO) for the quarter ended on June 30, 2010 witnessed a growth of over 100 per cent, the company said in a statement.

As reported by the company based out of Bhubaneswar, Orissa, net income of the company escalated to Rs. 2.84 billion from Rs. 1.26 billion for the same quarter in the previous financial year.

Sales of the company for the particular quarter jumped nearly 40 per cent to Rs. 14 billion on a year-on-year basis from Rs. 10.4 billion in the second quarter of the previous fiscal.

Signs of economic recovery and resilience in the automotive sector remained one of the major reasons for the company's superb show. As said by the company, higher sales of cars in the April-June quarter due to an increase in the general income level helped the company's sales as the automakers demanded more aluminum that what they demanded a year ago.

Moreover, the company also benefited from rise of the metal's price in the global market. At London Metal Exchange average price of a ton of aluminum increased nearly 39 per cent to $2,216 during the last quarter.