The India Cements reports Q3 loss of Rs 65.8 mn
Cement

The India Cements reports Q3 loss of Rs 65.8 mn

The India Cements reported a consolidated net loss of Rs 65.8 million for the third quarter ending December 2023, contrasting with a net profit of Rs 1112.2 million in the corresponding period of the previous year, as disclosed in a regulatory filing. The company's revenue from operations during this period stood at Rs 11.4446 billion, down from Rs 12.81 billion in the same quarter last year. Total expenses amounted to Rs 12.14 billion.

The company noted that its capacity utilisation was subdued at 51% for the third quarter, compared to 56% in the previous year's quarter and 61% in the second quarter of the current fiscal year. The cement and clinker volume for the quarter decreased by almost 9% to 19.85 lakh tonne, down from 21.82 lakh tonne in the prior year.

Despite lower capacity utilisation, the company managed to control variable costs through a reduction in power consumption and improved utilisation of alternative fuels and petcoke in the overall fuel mix. The company is actively working on disposing of non-core assets and has recovered Rs 4.55 billion of advances from April to December FY24 to enhance cash flow.

Efforts are underway to raise funds for plant efficiency improvements and working capital needs. The quarter saw an exceptional income of Rs 260 million from the profit on the sale of a ship. The company is strategically monetising non-core assets to boost liquidity, improve operating performance, and meet essential capital expenses.

Looking ahead, the company expressed optimism about the cement demand remaining robust, fuelled by an increasing preference for home ownership and the reconstruction of homes and workplaces. Additionally, it anticipates a boost in construction activity from heightened spending on infrastructure projects by the central and state governments ahead of the next Lok Sabha elections.?

The India Cements reported a consolidated net loss of Rs 65.8 million for the third quarter ending December 2023, contrasting with a net profit of Rs 1112.2 million in the corresponding period of the previous year, as disclosed in a regulatory filing. The company's revenue from operations during this period stood at Rs 11.4446 billion, down from Rs 12.81 billion in the same quarter last year. Total expenses amounted to Rs 12.14 billion. The company noted that its capacity utilisation was subdued at 51% for the third quarter, compared to 56% in the previous year's quarter and 61% in the second quarter of the current fiscal year. The cement and clinker volume for the quarter decreased by almost 9% to 19.85 lakh tonne, down from 21.82 lakh tonne in the prior year. Despite lower capacity utilisation, the company managed to control variable costs through a reduction in power consumption and improved utilisation of alternative fuels and petcoke in the overall fuel mix. The company is actively working on disposing of non-core assets and has recovered Rs 4.55 billion of advances from April to December FY24 to enhance cash flow. Efforts are underway to raise funds for plant efficiency improvements and working capital needs. The quarter saw an exceptional income of Rs 260 million from the profit on the sale of a ship. The company is strategically monetising non-core assets to boost liquidity, improve operating performance, and meet essential capital expenses. Looking ahead, the company expressed optimism about the cement demand remaining robust, fuelled by an increasing preference for home ownership and the reconstruction of homes and workplaces. Additionally, it anticipates a boost in construction activity from heightened spending on infrastructure projects by the central and state governments ahead of the next Lok Sabha elections.?

Next Story
Resources

Madhya Pradesh Champions Inclusive Tourism at Heritage Sites

On the occasion of World Heritage Day, Madhya Pradesh is taking a significant step toward inclusive tourism by making its historical sites accessible to all — especially persons with disabilities. The state is rolling out its ‘Accessibility Infrastructure and Development’ project at Maheshwar, Mandu, Dhar, and Orchha, aiming to create a more welcoming experience at these iconic cultural destinations.The initiative, under the leadership of Chief Minister Dr Mohan Yadav and Tourism Minister Shri Dharmendra Bhav Singh Lodhi, includes infrastructure upgrades such as ramps, Braille signage, w..

Next Story
Resources

Runwal Realty Onboards Sonam Kapoor as Brand Ambassador

Real estate major Runwal has unveiled a refreshed identity as Runwal Realty, signalling a renewed commitment to crafting spaces that stand the test of time. With this refresh, the brand unveils its new philosophy: “Building for Generations to Come” and welcomes Bollywood star and global fashion icon Sonam Kapoor as its brand ambassador. This evolved identity reflects Runwal Realty’s commitment to creating not just homes, but heirlooms—crafted through visionary design, meticulous planning, global design expertise and an unwavering focus on quality. With the customer at its core, each de..

Next Story
Infrastructure Urban

Emerging Trends in Infrastructure and Transport 2025: KPMG

KPMG’s latest report, The Great Reset: Emerging Trends in Infrastructure and Transport 2025 edition, sheds light on the profound changes transforming the global infrastructure landscape. As industries adapt to the challenges posed by climate change, economic pressures, and technological advancements, the report identifies key trends and provides actionable insights for leaders in infrastructure and transport sectors. “In today’s interconnected world, the lack of standardized supply chain practices is not just an operational challenge—it’s an environmental and economic one. We’..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?