Gujarat Ambuja expects high profit growth

Gujarat Ambuja expects high profit growth
Published: 02 August 2005

Gujarat Ambuja Cements Ltd (GACL) expects a topline growth of 20 per cent and a bottomline growth of 30 per cent for the current fiscal, said Anil Singhvi, Executive Director of the company. For the cement industry as a whole, Singhvi expects a price increase of 6-7 per cent and a volume increase of 8-9 per cent. This would translate into a growth of 15 per cent for the industry, he said.

Gujarat Ambuja Cements Ltd has a capital expenditure plan of over Rs 240 crore for the current fiscal. Most of this will go towards the setting up of a captive power plant based on solid fuels so that the steep increase in furnace oil prices can be avoided, he said. The rest will go towards the expansion of the clinker capacity of GACL’s Rajasthan plant, from 1.6Mta to 2Mta.