Mangalam Cement net jumps 38%

Mangalam Cement net jumps 38%
23 July 2007

Mangalam Cement, a part of the B K Birla Group, has posted a 37.6 per cent growth in net profit at Rs 25.89 crore for the June quarter compared with Rs 18.81 crore in the corresponding quarter a year ago.
Net sales grew 17 per cent to Rs 132.32 crore (Rs 113.13 crore).
Better realisation and higher sales helped the company put up a good quarterly show, which till recently was a sick company.
The operating profit for the period rose 50 per cent to Rs 45.6 crore (Rs 30.43 crore). Earning per share (EPS) stood at Rs 9.16 (Rs 6.66).
“Our realisation in the last quarter was Rs 386 per tonne more than comparable figure a year ago. This was mainly because of reduction in fuel and power costs. At the same time, our production and dispatches grew,” said R C Gupta, president, Mangalam Cement.
The company sold 380,000 tonnes of cement during the quarter, marginally higher than the previous quarter’s 370,000 tonnes. The company is bullish on its outlook.
“Demand is robust in the domestic market and we do not expect any decline in prices and demand during the monsoon season. Prices will remain stable,” Gupta added.
The company has an annual production capacity of 1.5Mt which is being raised to 2Mt by this year.
Published under Cement News