UltraTech Cement reported a 5% year-on-year increase and a 1% quarter-on-quarter rise in its domestic grey cement sales volume. The company attributed the enhanced Ebitda margins to better operational efficiencies and reduced fuel and raw material costs.
On Friday, UltraTech Cement reported a remarkable 68% year-on-year surge in its consolidated profit, reaching Rs 1,777 crore for the December quarter, surpassing the previous year's figure of Rs 1,058 crore. This marks the highest quarterly profit ever recorded by the cement manufacturer. Additionally, consolidated net sales witnessed an 8% year-on-year increase, reaching Rs 16,487 crore for the quarter, compared to Rs 15,299 crore in the corresponding quarter last year.
UltraTech Cement reported a 5% year-on-year increase and a 1% quarter-on-quarter rise in its domestic grey cement sales volume. The company attributed the enhanced Ebitda margins to improved operational efficiencies, along with reduced fuel and raw material costs. The operating Ebitda per metric ton for India operations saw a 34% YoY increase and a 27% sequential increase, reaching Rs 1.208.
Highlighting its commitment to 'green mobility,' UltraTech Cement initiated a pilot program introducing electric trucks for clinker transportation. Additionally, during the quarter, the company acquired a 0.54 million tonnes per annum cement grinding asset from Burnpur Cement Limited in Patratu, Jharkhand, marking its entry into the state. The acquisition amounted to Rs 169.79 crores.
In the quarter, UltraTech Cement augmented its solar power capacity by an additional 26 MW, bringing the total to 455 MW, alongside Waste Heat Recovery Systems accounting for 264 MW. The company aims to achieve 85% utilization of green power by the end of 2030.
In the northern zone, the housing segment experienced a decline in both rural and urban areas due to factors such as the NGT ban, delayed kharif harvesting in Punjab, Haryana, and Uttar Pradesh. Construction activities in Rajasthan were hampered by a labor shortage attributed to state elections, while Himachal Pradesh saw growth.
In the central zone, the infrastructure segment maintained its growth momentum, driven by projects like the Gorakhpur Link Expressway, Kanpur Lucknow Expressway, Kanpur Metro, and Ganga Expressway. Additionally, elections in Madhya Pradesh influenced the regional dynamics.
In the western region, the demand for the Infrastructure segment in Maharashtra received a boost from active projects such as the Mumbai Metro, Mumbai Goa Expressway, and a new phase of Pune Metro. The Commercial and Housing segments experienced growth in all areas except Vidarbha. In Gujarat, both the Housing and Commercial segments showed growth in rural and urban segments, although the Infrastructure segment exhibited comparatively slower growth. Projects like the Ahmedabad Mumbai High-Speed Railway, Deesa Airport, and Rajkot Airport were nearing completion.
In the southern region, the demand for the Infrastructure segment was sustained by ongoing projects such as the Bangalore-Chennai Expressway, Ernakulam Road Project, Railway Bridge Road, and Wadi.
In the eastern region, the Housing segment saw growth in all areas except Bihar. Demand for the Infrastructure and Commercial segments was adversely affected by festivities and shortages of aggregates and sand.
