Dalmia Bharat on October 14 reported a net profit of Rs 123 crore for the quarter ended September, indicating 161.7 percent year-on-year jump. This was largely on the back of lower power and fuel expenses. In the year-ago period, its net profit stood at Rs 47 crore.
The cement company's Q2 FY24 sales volume came in 6.2 million tonne, up 6.6 percent YoY from Q2 FY23 volume of 5.8 million tonne. Revenue from operations for the quarter came in at Rs 3,149 crore, up 6 percent YoY.
“We see a multi‐year strong cement demand trend continuing, as India is undergoing a large‐scale metamorphosis. In the last 3.5 years, we have added ~17.2 million tonne cement capacity, which is ~65 percent growth over FY20 capacity," Puneet Dalmia, Managing Director & CEO – Dalmia Bharat Limited, said.
The company's aim is to reach 110 ‐ 130 million tonne by 2031. Its current cement capacity stands at 43.7 million tonne and clinker capacity at 22.2 million tonne.
For the quarter ended September, Dalmia Bharat achieved an EBITDA of Rs 589 crore, up 55.2 percent YoY from the Rs 379 crore recorded in Q2 FY23. The EBITDA per metric tonne also increased to Rs 955 from the Rs 655 in Q2 FY23.
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“With the reduction in fuel prices, increased usage of renewable power and improvement in KPIs, we were able to deliver 55 percent YoY improvement in EBITDA," said Mahendra Singhi, Managing Director and CEO – Dalmia Cement (Bharat) Limited.
"During first half of the year, we commissioned 5.1 million tonne of cement and 0.5 million tonne clinker capacity in the East and South region," he added.
Along with the financial results, the company's board on October 14 also approved the proposal to increase cement grinding capacity by 0.5 million tonne at Rohtas Cement Works, Bihar at an estimated cost of Rs 91 crore. The project is expected to be completed in FY25.
The company also declared an interim dividend of Rs 4 per share. On October 13, a day ahead of results, the stock had closed at Rs 2,280 on the NSE, down 0.9 percent.
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