NALCO sees lower profitability on rising input costs
NEW DELHI (Reuters) - State-run National Aluminium Co (NALCO) expects a 10-12 percent rise in turnover this fiscal as new capacities gets added, but rising raw material costs are seen denting profitability, its chairman said on Tuesday.
"The input cost on raw material and coal have gone up during the current year, which will reduce margins," B.L. Bagra, chairman and managing director of NALCO told Reuters.
"Our profit may go up by 4-5 percent this fiscal."
NALCO expects price realisations on aluminum to increase by 7-8 percent in the fiscal year to March 2012 to an average of $2,500-$2,600 per tonne.
(Reporting by Siddesh Mayenkar and Jatindra Dash; editing by Malini Menon)