UltraTech profit falls 7% due to increased fuel and power costs hit

Beats first quarter estimate despite decline on both YoY and sequentially

Ultratech Cement

Workers walk in front of an UltraTech concrete mixture truck at the construction site of a commercial complex on the outskirts of the western Indian city of Ahmedabad | Photo: Reuters

Viveat Susan Pinto Mumbai
UltraTech, the country's largest cement maker, on Friday reported nearly 7 per cent year-on-year decline in net profit to Rs 1,584 crore for the quarter ended June 31, 2022 (Q1). Sequentially, too, it plummeted 39.5 per cent.

This was because the bottom-line was hit by a sharp rise in power and fuel costs. Power and fuel costs, along with freight and handling, account for 55-60 per cent of the total cost for cement companies on a per-tonne basis, according to sector analysts. 

The prices of both pet coke and thermal coal have risen sharply over the past few months, putting pressure on

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Jul 22 2022 | 5:22 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com