Ultratech Q1 Net dips 6% to Rs 628 cr on lower prices

Tags: Companies
Ultartech Cement today reported a little over six per cent dip in its consolidated net profit for the first quarter of the current fiscal at Rs 628 crore on lower prices and higher variable costs.

The Aditya Birla Group flagship had clocked a net profit of 669 crore during the April-June quarter of the last fiscal, it said in a statement.

"During the quarter, domestic cement sales volume improved by 14 per cent over the corresponding period in FY14. However, prices continued to remain under pressure. Variable costs increased by 3 per cent mainly on account of increase in prices of petcoke and input material," Ultratech said.

On a consolidated basis, net sales, however, grew to Rs 5,989 crore compared to Rs 5,272 crore in the corresponding period of the previous year.

The combined cement and clinker sales during the quarter stood at 11.70 million tonnes (MT) compared to 10.08 MT in the same period a year ago. The sale of white cement and wall care putty increased marginally to 2.57 lakh tonnes from 2.50 lakh tonnes.

On the outlook for the cement sector, it said, "Cement demand is slated to grow around 7-8 per cent, with expected double digit growth in the second half of the current fiscal. The key value drivers will be renewed government focus on housing and infrastructure spending."

During the quarter, Ultratech completed the acquisition of the Gujarat Units of Jaypee Cement Corporation Limited, comprising an integrated Unit at Sewagram and a grinding Unit at Wanakbori with a combined capacity of 4.8 mtpa.

With this acquisition, the cement capacity of the company stands at 58.8 mtpa in India.

EDITORIAL OF THE DAY

  • No ifs and buts, please, in India’s engagement with Iran

    Some foreign policy purveyors in this country have for long insisted that India does not leverage its civilisational connections as it should or is ca

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Urs Schoettli

New masters of the Financial Times

A few days ago, Japan’s leading financial daily Nihon Keizai ...

Anuja Sharma

Focus mindfully to get the result

Have you ever tried to light a fire using the ...

Gautam Gupta

Our fashion schools need to notch it up

“Creativity is the key to success and primary education is ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture