UltraTech Cement fell 2.40% to Rs 7005.85 after the cement major's consolidated net profit (from continuing operations) tumbled 38.03% to Rs 1,058.20 crore in Q3 FY23 as against Rs 1,707.72 crore posted in Q3 FY22.
Revenue from operations jumped 19.5% to Rs 15,520.93 crore in the quarter ended 31 December 2022 from Rs 12,984.93 crore recorded in the same period a year ago.
Profit before interest, depreciation and tax fell marginally to Rs 2,462 crore in Q3 FY23 as against Rs 2,490 crore reported in the corresponding quarter previous year. Profit before tax was at Rs 1,527.24 crore in Q3 FY23, down 6.5% as against Rs 1,634.14 crore reported in Q3 FY22.
Total expenses spiked 23.65% year on year to Rs 14,123.56 crore in Q3 FY23. Cost of raw material consumed was at Rs 2,262.73 crore (up 31.93% YoY) and power & fuel expense stood at Rs 4,873.13 crore (up 51.27% YoY). Energy cost surged 33% and raw material cost rose 13% YoY.
UltraTech achieved capacity utilisation of 83% as against 75% during Q3 FY22. Domestic grey cement sales volume rose 13% YoY and 12% QoQ, respectively.
In grey cement business, the company said that under the first phase of capacity expansion announced in December 2020, Ultra Tech commissioned 5.5 mtpa new capacity during Q3 FY23. Work on the second phase of growth of 22.6 mtpa announced during Q1 FY23 has already commenced. Main plant orders have been placed and civil work started at most sites. Commercial production from these new capacities is expected to go on stream in a phased manner by FY25.
Upon completion of these expansions, the company's capacity will grow to 159.25 mtpa, reinforcing its position as the third largest cement company in the world, outside of China and the largest in India by far, the cement maker stated in the press release.
In white cement divison, the third Birla White wall care putty plant at Nathdwara, Rajasthan, with a capacity of 4 lac tpa was commissioned during the quarter.
In its outlook UltraTech Cement said, Given the government's focus on infrastructure growth and the consequent rising demand for urban housing, the cement sector is poised for strong growth in the coming years.
UltraTech Cement is the cement flagship company of the Aditya Birla Group. It is the third largest cement producer in the world, outside of China, with a consolidated Grey Cement capacity of 126.75 MTPA.
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