Indian producer Anjani Portland Cement Ltd has reported a challenging FY24-25, posting a sharp decline in revenues and deeper losses as sluggish demand, competitive pressures and higher costs weighed on performance.
According to the company’s 41st annual report, standalone revenue from operations fell 22 per cent year-on-year to INR37.34bn (US$448m), while consolidated revenue dropped 31 per cent to INR43.00bn. The downturn was attributed to surplus supply in the cement market, erratic weather conditions, non-availability of sand and muted construction activity during state and general elections.
Losses widened significantly. On a consolidated basis, the company reported a pre-tax loss of INR9.70bn compared with INR5.04bn in FY23-24. Net loss after tax stood at INR8.12 bn against INR3.93bn a year earlier. Standalone net loss rose to INR3.48bn from INR1.17bn.
Production volumes also declined, with cement output slipping to 705,239t versus 851,516t in FY23-24, bringing capacity utilisation down to 61 per cent. Consolidated cement production was 1,101,818t, reflecting weak sales volumes across the group.
Despite the downturn, Anjani Portland highlighted several operational initiatives. The company increased use of alternative fuels, substituting pharma waste and other industrial by-products for coal to meet 13 per cent of its thermal energy needs. It also reduced captive power plant heat consumption and invested in energy conservation measures such as variable frequency drives and transformer upgrades.
On governance, the board emphasised compliance with secretarial standards and statutory norms, while confirming there were no insolvency proceedings or one-time loan settlements during the year.
The report also included a cautious outlook. While India’s cement sector continues to benefit from infrastructure and housing demand, the company warned of risks from surplus capacity, competitive pricing and geopolitical disruptions. Still, management expressed confidence that government-led infrastructure development and rural housing demand would underpin long-term growth.
Employee numbers stood at 227, with average salaries rising 6.55 per cent. Managerial remuneration increased by 12.5 per cent, in line with company policy.
No dividend was declared for FY24-25, continuing a suspension of payouts since 2020.
Chairperson V. Valliammai said the company remains committed to improving efficiency, strengthening market presence and pursuing sustainable practices despite near-term challenges.
