ACC pares early gain post Q3 earnings

Q2 net profit at Rs 242 crore against an average anlaysts estimates of Rs 280 crore.

ACC is trading lower by 2% at Rs 1,406 falling by over 3% from intra-day high after reporting a lower-than-expected a net profit of Rs 242 crore for the third quarter ended September 2012 (Q3) due to higher tax outgo. Analysts on an average had expected profit of Rs 280 crore from cement maker.

Net sales grew 9% at Rs 2,586 crore on y-o-y basis. The company has paid 72% more tax of Rs 110 crore in Q3 against Rs 64 crore in the corresponding quarter of previous year.

Sales volume was depressed against a backdrop of weak demand from the construction sector and prolonged monsoon,ACC said in a press release.

 

The stock opened at Rs 1,435 and hit a high of Rs 1,452 on the NSE. A combined 921,829 shares have changed hands on the counter till late noon deals on both the exchanges.