25 July 2005
UltraTech posts impressive results for the quarter ended 30 June 2005
|Rs. in Crore|
|30. 6. 2005||30.6.2004|
|Profit before tax||87.35||19.23|
UltraTech Cement Limited, an Aditya Birla Group company, has posted excellent results for the quarter ended 30 June 2005. Sales and net profit have grown impressively, driven by increased domestic off-take and improved domestic and export realisation.
Net sales at Rs. 815 crore was 20 per cent higher than the first quarter of the previous year (Rs. 680 crore). Profit before tax was Rs. 87 crore (Rs. 19 crore). After providing for interest – Rs. 22 crore (Rs.28 crore), depreciation – Rs. 51 crore (Rs. 54 crore) and tax – Rs. 27 crore (Rs. 8 crore), the profit after tax stood at Rs. 60 crore (Rs.11 crore).
During the quarter, UltraTech produced 3.16 MMT of clinker (3.23 MMT) and 3.44 MMT of cement (3.07 MMT). The effective capacity utilisation at the company’s plant was over 95 per cent.
Aggregate sales volumes was 3.89 MMT (3.87 MMT). Domestic sales constitute 81 per cent and exports constitute 19 per cent of the total turnover.
Domestic cement realisation at Rs. 2,132 pmt (Rs.1,864 pmt) recorded an improvement over the previous year by 14 per cent. Clinker exports realisation also increased by 43 per cent.
Heavy rains and flash floods in parts of Gujarat disrupted operations at the company’s cement works (GCW) resulting in a total stoppage of production from 29 June 2005. The company has incurred a loss of approximately Rs. 10.5 crore towards damage of stocks/higher repairs, maintenance for the quarter ended 30 June 2005.
UltraTech has started working closely with Grasim to leverage synergies.
UltraTech’s outlook for the full year is challenging. While the surplus supply situation in the company’s key markets is likely to continue putting pressure on cement prices, its major thrust would be to bring down the cost of sales. Moreover, the export boom to the Middle East is subject to commissioning of over 30 mn tonnes per annum new capacity in that region over the next 18 months. The government’s thrust on infrastructure like roads, ports, airports and housing, would fuel growth. Cement demand is expected to grow by about eight per cent.
For more information, contact:
Dr. Pragnya Ram
Group Executive President
Corporate Communications & CSR
Aditya Birla Management Corporation Private Limited
Tel: 91-22-6652 5000 / 2499 5000
Fax: 91-22-6652 5741/ 42