ACC reports 375% surge in PAT

ACC reports 375% surge in PAT
26 January 2024

India’s ACC Ltd has reported a 139 per cent YoY leap in operating EBITDA to INR9050m (US$108.87m) in the 3QFY23-24. Profit after tax over the same period has advanced by 375 per cent to INR5380m. According to the company, the “robust” results are due to “a sharp growth in volume and improvement of important KPIs.” Revenue for the 3QFY23-24 stood at INR49,140m, up from INR45,370m in the same period a year earlier, while earnings per share improved from INR6.01 in the 3QFY22-23 to INR28.55 in the same period a year later.

Sales volumes of clinker and cement came in at 8.9Mt in the 3QFY24, marking a 16.5 per cent YoY expansion. Kiln fuel costs over the same timeframe were down 28 per cent, driven by an optimisation of the fuel mix and higher consumption of alternative fuels. 

“ACC’s financial performance has seen a complete turnaround in the last 12 months,” says Ajay Kapur, director and CEO, ACC Ltd. “Recent capacity additions have taken the Adani Group’s cement capacity to 77.4Mta. This will enable volume and revenue growth on a sustainable basis.” Over the period under review, a 1Mta cement grinding works began production at ACC’s Ametha integrated plant, while in January 2024 ACC announced the acquisition of a 55 per cent stake in Asian Concretes and Cements Private Ltd, which along with its subsidiary Asian Fine Cements Pvt Ltd, has 2.8Mta cement capacity. 

The 3QFY24 also saw 16.3MW of waste heat recovery system (WHRS) installed at the Ametha works, resulting in a total WHRS capacity of 46.3MW. A 18MW WHRS facility at Chanda and a 21.5MW facility at Wadi are also on track for commissioning in FY25, taking ACC’s total WHRS capacity to 85.8MW. According to the company, this will result in a WHRS share of the total power mix of around 25 per cent. 

Published under Cement News