India: Aditya Birla Group's UltraTech Cement has reported 3% year-on-year growth in its consolidated net profit at US$65.8m for the quarter that ended on 30 September 2015, helped by increased sales and better operating margins.
UltraTech Cement's total income rose by 4% to US$927m in the quarter. Its domestic cement sales volume increased by 5% year-on-year. While operating costs were lower due to lower energy costs, the benefit was partially offset due to the District Mineral Foundation levy in terms of provisions of the Mines and Minerals (Development) Amendment Act, 2015.
UltraTech said that its capital expenditure programme is on track. During the quarter, it commissioned a 1.6Mt/yr grinding plant in Jhajjar, Haryana and a 1.6Mt/yr grinding plant in Dankuni, West Bengal. "As a result, the cement capacity is enhanced to 64.7Mt/yr in India. The company also commissioned a 2Mt/yr bulk terminal on outskirts of Pune. With the further commissioning of a 5MW waste heat recovery system in Rawan, Chhattisgarh, power generation from waste heat recovery is augmented to 53MW," said the company in a statement.
UltraTech Cement expects cement demand to pick up in the October 2015 – March 2016 period. "With the governments' focus on infrastructure development, housing sector, smart cities and roads, among others, UltraTech Cement is well positioned across the country to meet the expected rise in demand and participate in the next phase of growth in the country," said UltraTech Cement.
