India Cements Ltd has posted a net profit of Rs 112.59 crore for the quarter ended June 30, 2006, which figure, it says, "far exceeds even the highest ever annual profit registered by the company at Rs 87 crore during 1998-99."
With good demand in its major markets and firm prices, a situation that the company expects will last for at least two to three years, India Cements is confident of wiping off its accumulated losses by the third quarter of this year.
Mr N. Srinivasan, Vice-Chairman and Managing Director said the accumulated losses as on March 31 2006 were Rs 260 crore which would come down to Rs 150 crore at the end of the first quarter. The company’s performance he told a press conference was helped by strong demand and strengthening of prices in Andhra Pradesh and Karnataka. This demand had absorbed the slack in the southern region. In the April-June 2006 period the company sold 18.52 lakh tonnes of cement compared to 17.66 lakh tonnes in the same period last year.