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ACC reported that its net profit more than doubled to ₹206 crore (₹91 crore) on the back of better realisation and higher production.
Net sales were up 30 per cent to ₹3,417 crore (₹2,625 crore). The company has announced a dividend of ₹15 a share leading to an outflow of ₹339 crore (including dividend distribution tax).
The total dividend for this year adds up to ₹26 a share aggregating to ₹588 crore.
Production was up 27 per cent at 6.92 million tonnes (5.45 mt). Earnings before interest, tax, depreciation and amortisation were up 54 per cent at ₹443 crore (₹287 crore).
Strong topline growth
Neeraj Akhoury, Managing Director & CEO, said the increased focus on premium products and a targeted approach to customers and markets delivered strong top-line growth.
“We will continue to focus on cost improvements, profitable revenue growth and innovations that create new value," he said.
The cement business logged a strong growth despite challenges such as sand availability constraints and subdued urban housing trends due to RERA compliance.
Fuel sources
The quarter was impacted by an increase in cost of imported coal and petcoke, slag prices, limited availability of linkage domestic coal forcing a shift to costlier fuel sources, and the ban on petcoke usage in NCR States.
Despite this, optimisation of cost and productivity improvement, capped operating costs at last year’s level.
The ready-mixed concrete sales volumes grew substantially by 19 per cent during the quarter due to focus on infrastructure, commercial and realty segments.
The significant increase in the budgetary outlay for infrastructure development, which includes railways, roads, highways and irrigation projects, the investment in smart cities and a sharper focus on the affordable housing segment is expected to drive growth this year, it said.
The company’s scrip was up six per cent at ₹1,692 on Thursday.
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