UltraTech Cement June quarter profit down 36 per cent to Rs 806 cr

UltraTech Cement on Tuesday reported 36 per cent fall in its net profit for the April to June quarter at Rs 806 crore as compared to Rs 1,267 crore in the corresponding quarter of last year.

Revenue fell by 33 per cent to Rs 7,290 crore from Rs 10,851 crore in the same period. The cement manufacturer said it achieved 60 per cent capacity utilisation in first 68 operating days since the national lockdown.

"In the available 68 operating days during this quarter, the company kept a tight control on costs and cash flow, and achieved an effective capacity utilisation of 60 per cent across its network of 54 plants around the country," it said in a statement.

"The company's focus on operational efficiencies and cost control has made it better prepared for any future slowdown resulting from Covid-19," it added.

Net sales in Q1 FY21 totalled Rs 7,290 crore vis-a-vis Rs 10,851 crore over Q1 FY20 while profit before interest, depreciation and tax was at Rs 2,251 crore versus Rs 2,948 crore in the corresponding period of previous year.

Normalised profit after tax was Rs 914 crore compared to Rs 1,267 crore in the corresponding period of previous year.

The company said overheads control programme cut fixed costs by 21 per cent year-on-year. "Prudent working capital management and control on cash flows are reflected in a reduction of net debt by Rs 2,209 crore during Q1 FY21.