ACC witnesses a fall in 1Q14 net profit

Indian cement manufacturer ACC has released its results for the first quarter of 2014 (ended 31 March).

1Q14 highlights

• Cement sales totalled 6.48 million t, increasing from 6.42 million t in the same period a year earlier.
• Total consolidated turnover stood at Rs.2967 crore in 1Q14, a slight increase from Rs.2906 crore in 1Q13.
• EBITDA fell from Rs.492 crore in 1Q13 to Rs.425 crore in 1Q14.
• Profit before tax decreased from Rs.442 crore to Rs.383 crore in the first quarter of 2014.
• Net profit after tax fell from Rs.438 crore to Rs.400 crore in 1Q14.

During the first quarter of 2014 (January – March 2014), the industry did not experience any notable improvement in the growth of infrastructure development or construction activity and the company witnessed an escalation in the costs of flyash, coal and gypsum. The company do not foresee any significant improvement in the short-term, but will continue with its cost leadership efforts and customer excellence programmes to enhance sales realisations and improve margins.

Adapted from press release by Rosalie Starling

Read the article online at: https://www.worldcement.com/asia-pacific-rim/24042014/acc_witnesses_a_fall_in_1q14_net_profit_75/