Tisco closed at Rs 150.95 (the day's highest level) on NSE and on BSE also it closed at Rs 150.1, its highest level in the day. On BSE the counter witnessed substantially higher volume of 52.9 lakh shares. On Thursday, the company announced a 31.35 per cent dip in net profit to Rs 322.08 crore. But sales volume grew by 9 per cent despite substantial fall in the steel prices.

Last year's 12 per cent hike in freight rates has already made a substantial dent in the bottomlines of steel manufacturers. For 1997-98, Sail's net profit slumped to Rs 133 crore from Rs 515 crore in the previous year. Although the company registered higherturnover during the year but substantial increase in input costs like coal, railway freight and power, higher interest and depreciation costs pulled down the earning. Increase in the inputs alone cost Rs 700 crore more to the company. Out of this, Rs 700 crore, Rs 300 crore alone was on account of freight rate hike.

A fresh freight rate hike would have meant an additional burden of Rs 250 crore for Sail. The market has already discounted the poor performance of Sail. Thanks to the exemption from another hike, Sail hit the circuit filter on NSE at Rs 13.9 while on BSE it closed lower at Rs 12.8 after touching a high of Rs 13.9 during the day. The scrip today closed one rupee higher than yesterday's close of Rs 11.8. On BSE nearly 74 lakh shares of Sail changed hands. Essar Steel also closed at its day's highest level of Rs 23.85 as against the previous close of Rs 21.7.