Ambuja Cements on July 19 reported a standalone net profit of Rs 1047.90 crore for the quarter ended June. The numbers were way above the CNBC-TV18 poll of Rs 650 crore. The standalone revenue from operations for the period came in at Rs 3,993.45 crore against the poll of Rs 3,925 crore.
On a yearly basis, the standalone net profit rose 44.9 percent against Rs 723 crore registered in the corresponding quarter of the previous fiscal, while revenue surged by 18.5 percent YoY. The company had reported a standalone revenue of Rs 3,371 crore in the year-ago period.
The EBITDA in the April-June period was reported as Rs 684.5 crore, which is 1.1 percent higher as compared to Rs 677 crore in the corresponding period last year.
The EBITDA margin came in at 17.14 percent, which is 16 basis points lower as against 17.3 percent in the same quarter last year.
Ambuja Cements' sales volume was up 15.10 per cent in April-June quarter at 7.39 million tonnes per annum (MTPA) from 6.42 MTPA of the corresponding quarter.
For the first half of 2022, Ambuja Cements' consolidated net profit was down 27.93 per cent at Rs 1,721.90 crore as against Rs 2,389.40 crore a year ago.
Its revenue from operations increased 8.43 per cent to Rs 15,932.92 crore in 2022 in the January-June period. It was Rs 14,693.05 crore in H2 of 2021.
Neeraj Akhoury, CEO, Holcim India, and Managing Director & Chief Executive Officer, Ambuja Cements, said: "Ambuja has recorded robust volume growth of 15 per cent, and top line growth of 18 per cent" in the quarter.
However, "the April to June 2022 quarter was impacted by rising fuel prices and related inflationary impacts," he said, adding, this was partly mitigated by improved efficiencies.
"In addition, the Master Supply Agreement with ACC also led to strong performance on logistics costs," he added.
While updating about its expansion projects, Ambuja Cements said its projects for 8.5 million tonnes of cement capacity at Ropar and Bhatapara are on track.
Over the outlook, the company said the Reserve Bank of India, during its June meeting, noted that the domestic economic recovery is gaining strength.
"Investment activity is to be aided by improving capacity utilisation, the government's capex push, and strengthening bank credit; this bodes well for cement demand. Further, rural consumption should benefit from a normal monsoon owing to improvement in agricultural prospects," the company said.
In May, Holcim had signed a binding agreement with the Adani Group to sell its business in India, comprising its 63.11 per cent stake in Ambuja Cement which owns a 50.05 per cent interest in ACC as well as its 4.48 per cent direct stake in ACC.
Shares of Ambuja Cements on Tuesday settled at Rs 370.95 on the BSE, up 0.07 per cent from the previous close.
(With PTI inputs)
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