ACC Q1 Net Profit Down 22.5% to Rs 361 Cr - Adani Cement

New Delhi, Jul 29 (PTI) Cement maker ACC Ltd on Monday reported a decline of 22.46 per cent in its net profit to Rs 361.40 crore in the first quarter ended on June 2024.

The company had posted a profit of Rs 466.14 crore in the April-June quarter a year ago, according to a regulatory filing from ACC, now a part of Adani Cement.

Its revenue from operations was marginally lower at Rs 5,154.89 crore during the quarter under review. It was Rs 5,201.11 crore in the corresponding period a year ago.

ACC's sales volume from Cement & Clinker in the April-June quarter was up 9 per cent at 10.2 million tonnes, which is the "highest ever volume" in Q1 over the last five years, according to an earning statement by the company.

The volume growth was "supported by an increase in premium products and improvement in efficiency parameters, ensuring market leadership".

Total expenses of ACC rose 1.84 per cent in the June 2024 quarter to Rs 4,741.27 crore.

Its Kiln fuel cost improved, helped by change of fuel basket and higher consumption of alternative fuels, it said.

While thermal value reduced, with further improvement expected in future quarters.

Its revenue from the cement business was marginally down to Rs 4,852.26 crore against Rs 4,877.63 crore in the corresponding quarter.

Revenue from ready-mix concrete was 9.33 per cent down to Rs 328.83 crore from Rs 362.69 crore a year ago.

The company's total income, which includes other income, slipped marginally to Rs 5,226.61 crore in the June quarter.

"Our performance this quarter exemplifies our efficiency and agility. Our strategic decisions, customer-centric approach, and operational excellence continue to drive growth,” Ajay Kapur, CEO – Cement Business at Adani Group, said.

On the outlook, the company said with a stable government and progressive policies, the Indian economy for FY25 is expected to grow in the range of 6.5 per cent to 7 per cent, with 7-9 per cent growth in the cement industry.

An outlay of Rs 11.11 lakh crore for infrastructure projects has been allotted in Budget FY25, which represents 3.4 per cent of GDP.

"Phase IV of PMGSY will be launched to provide all-weather connectivity to 25,000 rural habitations. All these measures are expected to bring buoyancy to cement demand," it said.

Shares of ACC settled 0.38 per cent lower at Rs 2,603.75 apiece on the BSE.