Grasim net profit rises 17% on higher sales

Company posts Rs 489 cr profit, revenue up by 6% to Rs 8,393 cr

Aditya Birla Group's Grasim has reported a 17 per cent jump in its net profit to Rs 489 crore for the quarter ended September as compared to Rs 416 crore in the same quarter of last year. Consolidated revenue grew six per cent to Rs 8,393 crore, while earnings before interest, tax, depreciation and amortisation was up 16 per cent to Rs 1,485 crore in the September quarter.

Grasim said its viscose staple fibre revenue increased by 13 per cent, driven by higher sales volume, with additional volumes from Vilayat plant, and aided by business development activities. In the chemical business, the company's revenue was up by 26 per cent with a volume growth of 20 per cent in caustic soda and 68 per cent in Epoxy resin and does not include an Ebitda of Rs 77 crore and profit after tax of Rs 20 crore reported by ABCIL due to pending merger with the company.

Grasim said it would continue to focus on expanding its domestic market through product development activities, working closely with brands and retailers.

In cement, the demand is expected to be higher with the government's focus on infrastructure development, housing sector, smart cities etc. and the softening of interest rates.