Sesa Goa Q3 net profit falls 35% to Rs 692 crore

MUMBAI: Sesa Goa, India's largest exporter of iron ore and part of Vedanta Resources, on Wednesday said its fiscal third quarter net profit fell 35%, due to higher taxes and losses from currency fluctuations.

Cash rich Sesa Goa, which part financed parent Vedanta's acquisition of Cairn Energy, said its October-December net profit fell to Rs 692 crore, compared to Rs 1,065 crore last year. Revenue in the same period rose to Rs 2,617 crore from Rs 2,250 crore.

"The export duty of 30% and the losses on account of foreign exchange were the main reasons for the fall in the net profit," said managing director P K Mukherjee. "The future growth will depend on the Supreme Court's directive on mining in Karnataka which is tentatively expected in February," he added.

Sesa Goa, along with other mining firms, was impacted after the Supreme Court in July last, ordered a suspension of mining in Karnataka following reports of rampant illegal mining in the state.

Investigations into the illegalities are currently over and the SC is expected to come out with its order.