 "UltraTech Cement Q3 result: Profit down 17% at Rs 1,470 cr, revenue up 3%")
India's biggest cement maker by capacity, Ultratech Cement on Thursday reported 17.3 per cent drop in consolidated net profit for the third quarter (Q3) of the financial year 2024-25 (FY25) at Rs 1,469.5 crore. Sequentially, however this was a huge turnaround for the cement firm, up 79.2 per cent from Rs 820.04 crore reported at the end of Q2FY25.
Consolidates revenue from operations saw a marginal rise of 2.7 per cent at Rs 17,193.33 crore, from Rs 16,739.97 crore reported during the same period last year. Sequentially, revenue rose by 10 per cent from Rs 15,634.73 crore.
UltraTech’s consolidated net sales for Q3FY25 rose to Rs 16,971 crore, compared to Rs 16,487 crore in the same period last year. The company reported a profit before interest, depreciation, and tax (PBIDT) of Rs 3,131 crore, a decline from Rs 3,395 crore a year ago.
The company reported a 10.5 per cent year-on-year (Y-o-Y) growth in domestic sales volume and a 9 per cent quarter-on-quarter (Q-o-Q) increase. Trade volumes rose by 12.5 per cent Y-o-Y, while rural sales volume surged by 13 per cent Y-o-Y, driven by government-led infrastructure projects and a rise in demand across rural and urban markets.
UltraTech’s domestic operating Earnings Before Interest, Taxes, Depreciation, and Amortisation (Ebitda) per metric tonne (Ebitda/Mt) stood at Rs 964, reflecting an improvement of Rs 232/Mt Q-o-Q.
The company’s capacity utilisation rate during the quarter was 73 per cent. Energy costs declined 13 per cent Y-o-Y and 4 per cent Q-o-Q, primarily due to a reduction in fuel costs.
The government’s focus on infrastructure and housing projects together with increased rural and urban demand, is expected to generate a sustainable volume growth of 7- 8 per cent, going forward, the company said.
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Shares of Ultratech were trading at Rs 11262.7 on the BSE a 2:45 pm, up more than 5 per cent after the Q3FY25 financial results were released.