 "Ramco Cements reports 55% rise in Q2 profit at Rs 139 cr")
Total income during the quarter declined to Rs 893.92 crore, from Rs 953.83 crore a year earlier, it said.
The company continued to focus on cost reduction measures which enabled the company to reduce the operating cost significantly and the company was confident of reducing the cost further in the coming quarters.
The reduction in the operaring cost was partly set-off due to increase in royalty of limestone from Rs 63 per tonne to Rs 83 per tonne with effect from September 1, 2014.
Provision for district mineral foundation as per Mines and Minerals (Development and Regulation) Amendment Act, 2015. Its impact on cost of cement works out to Rs 32 per tonne.
The company said finance costs have been reduced due to repayment of loans as compared to the corresponding period of the previous year.
Meanwhile, company's Board has given its consent to the proposal to obtain shareholder approval through postal ballot process for issue of debentures up to a maximum Rs 500 crore.
The proceeds of the debenture issue are meant for pre-payment/substitution of the company's borrowings and meeting general corporate purposes, according to BSE announcement.
