UltraTech Cement profit up 69 percent to Rs 1,280 crore
“The company continues to deliver strong growth quarter after quarter, achieving a 16 per cent volume growth in the quarter,” the earnings statement from Aditya Birla Group firm.
NEW DELHI: UltraTech Cement Ltd on Thursday reported a 68.75 per cent jump in consolidated net profit at Rs 1,280.38 crore in the second quarter ended September 30, 2023, led by a strong volume growth.
The company had posted a consolidated net profit of Rs 758.7 crore in the July-September quarter last fiscal, UltraTech said in a regulatory filing.
Its revenue from operation was up 15.25 per cent at Rs 16,012.13 crore during the period under review as against Rs 13,892.69 crore in the year-ago period, it added.
“The company continues to deliver strong growth quarter after quarter, achieving a 16 per cent volume growth in the quarter,” said an earnings statement from the Aditya Birla Group firm.
During the quarter, UltraTech witnessed demand from all sectors, fuelled by government-led infrastructure, rural development and urban residential demand.
UltraTech’s “rural sales were at 63 per cent of trade, grew at 15 per cent for the quarter”, it added.
Its consolidated sales volume in the September quarter was 26.69 million tonnes.
Total expenses in the second quarter were higher at Rs 14,493.01 crore, as compared to Rs 12,934.27 crore in the corresponding period last fiscal, the company said.
During the reporting quarter, energy cost was lower by 10 per cent YoY, while raw material cost rose 4 per cent on account of an increase in the cost of fly ash and slag.
UltraTech said it achieved capacity utilisation of 75 per cent during the quarter on expanded capacity.
While updating the ongoing expansion program, UltraTech said it is progressing as per schedule.
“5.5 MTPA (million tones per annum) capacity has already been commissioned during this financial year following a 12.4 MTPA capacity addition during FY23,” it said.
UltraTech Cement’s total grey cement manufacturing capacity in India now stands at 132.45 MTPA.
“Work on the second phase of growth of 22.6 MTPA is in full swing. As part of this project, we are adding another 1.8 MTPA of slag grinding capacity taking a total of phase 2 to 24.4 MTPA,” said UltraTech, adding, “commercial production from all these new capacities is expected to go on stream in a phased manner by FY25/FY26.”
The company said its ongoing expansion programme is progressing as per schedule with 5.5 MTPA capacity already being commissioned during this financial year following a 12.4 MTPA capacity addition during FY23.
Over the outlook, UltraTech said demand revival is imminent, especially during the festive season and the January-March peak construction period.
“Demand will also be led by pre-election spending, continued government push on infrastructure development, and sustained real estate development. All of this augur well for the Company,” it said.
Shares of UltraTech Cement Ltd on Thursday settled 2.83 per cent higher at Rs 8,514.80 apiece on the BSE.
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