Grasim Industries Q1 net up 9% to Rs 1,248 cr on higher income

Grasim had posted consolidated net profit of Rs 1,140 cr during same period of previous fiscal

Aditya Birla Group firm Grasim Industries today reported a 9.47 per cent rise in its consolidated net profit at Rs 1,248.10 crore for the quarter to June on account of higher income.

The company had posted a consolidated net profit of Rs 1,140.03 crore during the same period of the previous fiscal, Grasim Industries said in a BSE filing.

Total income during the April-June quarter of the fiscal stood at Rs 11,222.17 crore as against Rs 10,373.47 crore in the corresponding period last fiscal, up 8.18 per cent.

"The domestic market saw destocking in the value chain given the announcement of GST implementation," the company said.

Grasim Industries' consolidated revenue from its viscose staple fibre (VSF) segment was Rs 1,997.71 crore this quarter as against Rs 1,801.87 crore a year ago.

Company's consolidated revenue from cement division was Rs 7,928.50 crore during the quarter. It was Rs 7,452.35 crore in the first quarter of the last fiscal.

For the entire fiscal, Grasim Industries had reported a net profit of Rs 4,245.61 crore.

With effect from July 1, Aditya Birla Nuvo Ltd (ABNL) has been merged into Grasim Industries.

During the quarter, UltraTech completed the acquisition of the Cement plants from Jaiprakash Associates Ltd and Jaypee Cement Corporations Ltd with a total capacity of 21.2 MnTPA.

On the outlook, Grasim Industries said: "The company is working on investment plan for capacity expansion in addition to the ongoing debottlenecking of its plants to meet the growing consumer demand."

The stock was trading 4.22 per cent higher at Rs 1,100.70 on the BSE.