UltraTech Cement second-quarter sales ahead

UltraTech Cement second-quarter sales ahead
20 October 2015

Aditya Birla group company UltraTech Cement reported higher revenue and volume growth for the second quarter of FY16 as well as a better operational performance during the period.

For the three months to the end of September 2015, standalone net sales edged ahead by 4.2 per cent to INR5621 crores compared to INR5379 crores a year earlier. Profit before interest, depreciation and tax rose 8.6 per cent to INR1033 crores.

However, profit after tax fell 3.9 per cent to INR394 crore largely on higher tax expenses. On a like-for-like basis, 2QFY16 profit after tax increased by 16 per cent.

Combined cement and clinker sales reached 11.51Mt with cement volumes up five per cent.

“"While operating cost was lower as compared to previous year on account of lower energy cost, the benefit was partially offset due to District Mineral Foundation levy in terms of provisions of Mines and Minerals Act” UltraTech noted.

Meeting an 'expected rise in demand'
On its outlook, the Indian cement major said: “With the Governments' focus on infrastructure development, housing sector, smart cities, roads etc, UltraTech is well positioned across the country to meet the expected rise in demand and participate in the next phase of growth in the country."

Newly-commissioned projects
During the quarter, UltraTech commissioned 3.2Mta of cement capacity, comprising a 1.6Mta grinding unit at Jhajjar, Haryana and another 1.6Mta grinding facility at Dankuni, West Bengal. These new plants boost the company’s total cement capacity to 64.7Mta.

It also commissioned a 2Mta bulk terminal on the outskirts of Pune, Maharashtra. In addition, UltraTech enhanced its waste heat power generation capacity to 53MW following the commissioning of a 5MW system at Rawan, Chhattisgarh.

Published under Cement News