India Cements reported a net profit of Rs.40.10 crore for the June quarter, up from a loss of Rs.2.96 crore in the June 2014 quarter, in spite of some one-off costs including Rs.10 crore provision for increased wage settlement. Cement prices were up Rs.600 y/y to Rs.3900 per tonne. Income was down 12.91% y/y to Rs.1075.45 crore, but operating profit was up 19.9% y/y and operating costs declined 18%.
According to reports, the company’s Managing Director N Srinivasan is hopeful that demand will pick up by the end of the year. Currently, capacity utilisation is down to 58% from 67% in the June 2014 quarter.
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