Gujarat Ambuja net up at Rs 244 cr

BS 200 SCORECARD

Gujarat Ambuja Cements (GACL) has posted an increase of 225 per cent in its net profit for the quarter ended September 30 at Rs 244.66 crore against Rs 75.28 crore in the corresponding period last year.

The company's net sales during the quarter grew by 52.04 per cent to Rs 984.14 crore against Rs 647.28 crore in the corresponding period last year.

Operating profit registered an increase of 122.26 per cent at Rs 381.42 crore against Rs 171.61 crore.

The consolidated net profit jumped by 159.07 per cent at Rs 279.95 crore for the quarter against Rs 108.06 crore last year. The net consolidated sales increased to Rs 1,006.23 crore against Rs 669.81crore, registering an increase of 50.23 per cent.

The company sold 3.21 million tonne of cement during the quarter, up 9 per cent compared with the corresponding period last year. Overall efficiencies and better cement prices helped the company post high increases.

The consolidated results for the current quarter do not include results of Ambuja Cement India Ltd (ACIL), Ambuja Cement Eastern Ltd (ACEL) and Kakinada Cements Ltd, which have ceased to be subsidiaries of the company.

ACIL has since become an associate of the company and the share of profit of associate has been recognised.

During the quarter ended March 31, 2006, the company sold its investments in certain subsidiaries, joint ventures and an associate.

Accordingly, results for the current quarter are not strictly comparable with those of the corresponding period of the last year.

The company, along with ACEL, has planned a total capital outlay of Rs 950 crore to augment its cement capacity by setting up a clinker unit of 2.3 million tonne in Chhattisgarh.

It is also setting up three power plants of 81 mw altogether. The work on the upgrade of the cement plant in Rajasthan and two grinding units in Uttaranchal and West Bengal are progressing as per schedule.

In a press release, the company said the construction industry is witnessing rapid growth and demand for cement is expected to be over 10 per cent on the back of sound GDP growth.