The Hindu Business Line : NCL Ind registers 4-fold growth in net

NCL Industries Ltd has reported more than four-fold growth in net profit during the second quarter of the current financial year ended September 2006, while sales turnover improved by 56 per cent.

The company posted a net profit of Rs 6.71 crore for the quarter ended September 2006, as against Rs 1.21 crore for the corresponding quarter last year on a sales turnover of Rs 36.34 crore (Rs 23.33 crore). This translates into an EPS of Rs 2.30 (Rs 0.75) on an equity of Rs 29.22 crore (Rs 16.23 crore).

For the six months' period, net turnover stood at Rs 82.89 crore (Rs 48.2 crore), while net profit amounted to Rs 12.91 crore (Rs 2.21 crore), yielding an EPS of Rs 4.96 (Rs 1.36).

The company's board approved the proposal for expansion of cement capacity by 8 lakh tonnes at Rs 213 crore. In a press release here, the company said the total cement capacity would reach 14.5-lakh TPA (4,400 TPD) after the proposed expansion.

The company proposes to set up a 1,800-TPD clinker plant at Mattapally in the Nalgonda district of Andhra Pradesh at the existing cement plant and a 2,500-TPD cement grinding plant at Kondapally near Vijayawada.

NCL Industries proposes to transport the clinker produced at Mattapally to Kondapally for grinding. It also plans to use fly ash from thermal power plants for the manufacture of blended cement. The company said it has also included railway siding in the project to cater to the markets of Southern India and Eastern states. The company expects to complete the project in about 18 months' time. It has adequate limestone reserves at Mattapally.