Sesa Goa, a Vedanta Group company, has reported a loss of Rs 12 crore on a standalone basis in the September quarter of this fiscal against a net profit of Rs 353 crore on account of decline in volume and higher interest cost.
In addition, the company had mark-to-market loss of Rs 217 crore against last year's gain of Rs 36 crore on foreign currency borrowings.
The company's sales realisation was lower by nine per cent at Rs 819 crore (Rs 900 crore) as its iron ore sales were down at 1.55 million tonnes compared with 1.82 mt in same period last year. During Q2, iron ore production was down at 1.12 mt (2.88 mt) due to the ban on mining in Karnataka
On a consolidated basis, Sesa Goa's net profit plunged more than 99 per cent to Rs 1 crore against Rs 395 crore in the comparative quarter last year. Sales fell 17 per cent to Rs 855 crore (Rs 1,026 crore).
The Supreme Court in August ordered a ban on iron ore mining and direct sales in Karnataka. The Court has currently ordered a study by government agencies and also allowed the sale of inventory by e-auction through appointed agency.
The company's shares were down three per cent to Rs 205 on Thursday.