New Delhi: Aditya Birla Group firm UltraTech Cement on Saturday reported a 37.9 per cent decline in its consolidated net profit at Rs 1,062.58 crore for the third quarter of fiscal 2022-23. UltraTech Cement said in a BSE filing that the company had posted a net profit of Rs 1,710.14 crore in the October-December period a year ago.
However, its revenue from operations during the quarter under review grew by 19.53 per cent to Rs 15,520.93 crore as against Rs 12,984.93 crore in the same period last fiscal. UltraTech’s total expenses were Rs 14,123.56 crore, up 23.65 per cent from Rs 11,422.05 crore in Q3/FY23. ,Also read: Union Budget 2023: From tax relief to job creation, five big expectations from the upcoming budget,
According to the company, its operation cost was high. The cost of raw materials such as fly ash, slag and gypsum saw an increase of 13 per cent. The Aditya Birla Group firm said in its earnings statement, “Energy and raw material costs increased by 33 per cent and 13 per cent during the October-December quarter, while they remained flat on a sequential basis.” ,Also read: ICICI Bank’s third quarter profit up 34 percent at Rs 8,312 crore,
UltraTech achieved a capacity utilization of 83 per cent as compared to 75 per cent during Q3FY22. UltraTech’s consolidated sales volume in Q3/FY23 was 25.86 million metric tonnes during the quarter, registering a growth of 12 percent year-on-year.
Updating the capex, UltraTech said that under its first phase of development initiated in December 2020, it has commissioned 5.5 mtpa new capacity during Q3FY23. Work has already started on the second phase of 22.6 MTPA addition announced during Q1 FY2023.
The orders for the main plant have been placed and civil works have commenced at most of the sites. Commercial production from these new capacities is expected to commence in a phased manner by FY25.
“Given the government’s focus on infrastructure growth and increasing demand for urban housing, the cement sector is poised for strong growth in the coming years,” the company said.