Stable cement prices & improved realisations have contributed to Chennai bases India Cements reporting a 15% growth in net profit during the fourth quarter.
For the quarter ended March 31, 2012, India Cements reported a net profit of Rs 65 crore on a total income of Rs 1,123 crore.
During the corresponding quarter in the previous year, the net profit was Rs 56 crore on a total income of Rs 942 crore.
A noticeable recovery in demand and a higher average realisation during the year at about Rs 3,431 a tonne (Rs 2,661) have contributed to the improvement in performance.
Cement sales during the quarter were at 25.28 lakh tonnes (25.32 lakh tonnes).
Mr N. Srinivasan, Vice-Chairman and Managing Director, India Cements,''The Cement Manufacturers Association figures show that during the last quarter the demand has grown by 10%t over that of the previous year. Last year input costs had increased across the board as the cost of power, fuel & raw materials had increased."
But there is bound to be a ‘tapering of costs' in the current years as the company is securing critical costs like power& coal.
India Cements has commissioned a 50 MW coal-based power plant at its Sankar Nagar plant in January, 2012. Its captive plant in Vishnupuram is to be commissioned soon.
As grid power costs increase, the captive power plants will contribute to significant savings.
The company has also invested over $2 crore in captive coal mines in Indonesia which will be commissioned in the first quarter of the next financial year (2013-14).
During the 2011-12, the India cements has reported a net profit of Rs 293 crore (Rs 68 crore) on a total income of Rs 4,223 crore (Rs 3,540 crore).
For the quarter ended March 31, 2012, India Cements reported a net profit of Rs 65 crore on a total income of Rs 1,123 crore.
During the corresponding quarter in the previous year, the net profit was Rs 56 crore on a total income of Rs 942 crore.
A noticeable recovery in demand and a higher average realisation during the year at about Rs 3,431 a tonne (Rs 2,661) have contributed to the improvement in performance.
Cement sales during the quarter were at 25.28 lakh tonnes (25.32 lakh tonnes).
Mr N. Srinivasan, Vice-Chairman and Managing Director, India Cements,''The Cement Manufacturers Association figures show that during the last quarter the demand has grown by 10%t over that of the previous year. Last year input costs had increased across the board as the cost of power, fuel & raw materials had increased."
But there is bound to be a ‘tapering of costs' in the current years as the company is securing critical costs like power& coal.
India Cements has commissioned a 50 MW coal-based power plant at its Sankar Nagar plant in January, 2012. Its captive plant in Vishnupuram is to be commissioned soon.
As grid power costs increase, the captive power plants will contribute to significant savings.
The company has also invested over $2 crore in captive coal mines in Indonesia which will be commissioned in the first quarter of the next financial year (2013-14).
During the 2011-12, the India cements has reported a net profit of Rs 293 crore (Rs 68 crore) on a total income of Rs 4,223 crore (Rs 3,540 crore).
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