Balasore Alloys Overcomes Challenges: Net Profit Surges Despite Market Volatility

Ferrochrome producer Balasore Alloys Ltd announced a net loss of Rs 4.6 crore for the quarter ending March 2025, a significant downturn from a Rs 30 crore profit in the corresponding period the previous year. The company cited steel industry volatility and geopolitical factors as the primary causes for this quarter's losses.

Despite quarterly setbacks, Balasore Alloys demonstrated a substantial recovery, posting a net profit of Rs 54.07 crore for the fiscal year 2025. This marks a stark contrast to the net loss of Rs 46.19 crore in the previous year, achieved through stringent cost-management and heightened operational efficiency.

Managing Director A K Jain attributed the fiscal turnaround to strategic cost-cutting, with a marked reduction in the cost of goods sold from 70% to 40% of revenue and nearly halving material costs. Looking forward, the company plans to bolster production and sales by utilizing steel and technological innovations.

(With inputs from agencies.)