Ultratech Cement Limited has released its financial results for the quarter ending 31 March 2016, as well as the financial year 2015 – 2016.
Domestic cement registered a growth of 15% during Q4FY16, with grey cement sales at 46.93 Mnt for the FY and 13.20 Mnt for Q4FY16. White cement and wall care putty recorded sales of 13.12 LmT during FY16 and 3.85 LmT for the quarter ended 31 March 2016, respectively.
Operational efficiencies, a judicious fuel mix and a fall in fuel prices led to operating costs being reduced.
Net sales stood at Rs.6.850 crore vis-à-vis Rs.6.517 crore in the same period of the previous year. Profit before interest, depreciation and tax is Rs.1.478 crore as against Rs.1.435 crore. Profit after Tax at Rs.723 crore was higher by 10% as compared to Rs.657 crore in the corresponding period of the previous year.
Net sales at Rs.25.281 crore are up from Rs.24.056 crore. Profit before interest, depreciation and tax at Rs.5.109 crore was 7% higher than Rs.4.776 crore and Profit after Tax at Rs.2.287 crore was 9% higher as compared to Rs.2.098 in FY15.On a standalone basis the company achieved net sales of Rs.23.841 crore (Rs.22.648 crore). Profit before Interest, Depreciation and Tax is Rs.4.851 crore and Profit after Tax is Rs.2.175 crore vis-a-vis Rs.4.567 crore and Rs.2.015 crore respectively.
The Board of Directors at their meeting held today have recommended a dividend of 95%, at the rate of Rs.9.50 per share of face value of Rs.10 each aggregating Rs.260.71 crore. The company will absorb the corporate tax on dividend amounting to Rs.53.07 crore, resulting in a total payout of Rs.313.78 crore.Capex
The company’s on-going capex program is on track. With the commissioning of 26 MW capacity waste heat recovery systems across its operating units, power generation from waste heat recovery stands augmented to 59 MW. Further, upon commissioning of the cement grinding plants at Jhajjar in Haryana, Dankuni in West Bengal and Patliputra in Bihar, the company’s cement capacity in India is enhanced to 66.3 MTPA. The company also commissioned a 2.0 MTPA cement packaging terminal on the outskirts of Pune, Maharashtra.
The company entered into definitive agreements with Jaiprakash Associates Limited for the acquisition of identified cement plants of JAL in the states of Madhya Pradesh, Uttar Pradesh, Himachal Pradesh, Uttarakhand and Andhra Pradesh having capacity of 21.20 MTPA at an enterprise value of Rs.15.900 crore.
Cement demand is expected to grow 7 – 8% for next year on the back of the Government’s focus on infrastructure development, housing, smart cities etc., all of which augur well for the company. UltraTech Cement is confident of meeting the demand upsurge and participating proactively in the next phase of growth in India.
Adapted from press release by Rebecca Bowden
Read the article online at: https://www.worldcement.com/indian-subcontinent/26042016/ultratech-cement-financial-results-fy16-976/