Grasim Industries, an Aditya Birla Group company, has reported 13 per cent increase in March quarter consolidated net profit at ₹2,617 crore, against ₹2,309 crore logged in the same period last year, largely due to better realisation.

Revenue was up 26 per cent at ₹24,399 crore (₹19,350 crore) while Ebitda was up 56 per cent at ₹5,142 crore.

The company declared a dividend of ₹9 per equity share.

Revenue from the discontinued fertilizer business was down at ₹561 crore (₹623 crore) while Ebitda almost halved to ₹33 crore (₹68 crore). The financial performance of the fertilizer business was not included in this quarter as the company expects to divest the business by Q2 of FY22.

Net debt reduced to ₹8,831 crore from ₹20,882 crore as of last March quarter.

The revenue from the viscose business was up 23 per cent at ₹2,583 crore (₹2,102 crore) while Ebitda more than doubled to ₹625 crore (₹261 crore) due to higher sales volumes and better realisation.

Revenue from chemical business was up at ₹1,472 crore (₹1,290 crore) and Ebitda stood at ₹185 crore (₹104 crore). The company’s subsidiary UltraTech Cement and Aditya Birla Capital also delivered better financial performance.

The company plans to invest ₹2,604 crore (excluding paints and fertiliser) in this fiscal against ₹1,508 crore spent last fiscal. The VSF expansion project at Vilayat with Line-1 scheduled to be commissioned in Q2FY22 and Line-2 in Q3FY22.

Other capex includes Grasim’s plans to invest towards increasing its Advanced Materials (Epoxy) business capacity by 1,25,000 tonnes per annum through a brown field expansion at the existing location of Vilayat. It plans to increase caustic soda production capacity by 200 tonnes per day to 1,400 tpd at Vilayat in 24 months.

comment COMMENT NOW