India Cements has reported “gratifying results” for the quarter ending 31 December, according to a company press release, despite the uncertainty created by the Indian government’s policy of demonetisation that was introduced in November last year.
Overall sales – including clinker and cement – were up 22% on the same period in 2015 at 2.4 million t, despite the Indian cement sector as a whole registering growth of around 4.3% through the quarter.
Earnings were also up significantly, rising 24% on the previous year to INR1.92 billion, compared to INR1.5 billion in 2015. This increase came despite a substantial rise in the price of both petcoke and coal, the company said.
Overall, profit was INR350 million, compared to INR300 million in 2015.
Looking ahead, the company was positive on the prospect for cement demand, despite the ongoing impact of demonetisation on the Indian economy, where GDP growth is expected to take a hit.
“With the expectations of a thrust in the forthcoming budget on infrastructure, housing, public spending and developmental works, a reasonable growth in the cement demand is envisaged,” the company said.
Read the article online at: https://www.worldcement.com/indian-subcontinent/01022017/indian-cements-releases-positive-4q16-results/