ACC slides after Q1 PAT drops 22% YoY to Rs 361 cr in FY25

ACC fell 1.10% to Rs 2,575.05 after the company's consolidated net profit declined 22.47% to Rs 361.40 crore in Q1 FY25 as compared with Rs 466.14 crore posted in corresponding quarter last year.

Revenue from operations fell marginally 0.89% YoY to Rs 5,154.89 crore in Q1 FY25.

Profit before tax (PBT) fell 22.26% YoY to Rs 486.28 crore in Q1 FY25.

EBITDA stood at Rs 679 crore, registering de-growth of 4.5% as compared with Rs 711 crore posted in same quarter last year. EBITDA margin fell to 72% during the quarter as against 77% in Q1 FY24.

Sales volume (cement & clinker) increased to 10.2 million tonnes (MT) in Q1 FY25 from 9.4 MT in Q1 FY24, recording 9% growth, supported by increase in premium products and improvement in efficiency parameters, ensuring market leadership.

 

While sales volume of ready mix concentrate fell to 0.68 million cubic meters (MCM) in Q1 FY25 from 0.76 MCM in Q1 FY24. The firm said that RMX business is growing steadily with improvement in profitability driven by improved efficiency parameters and optimising its footprint.

Kiln fuel cost improved from Rs 2.14 per 000 kCal to Rs 1.73 per 000 kCal with change of fuel basket and higher consumption of alternative fuels while thermal value reduced from 757 kCal to 739 kCal, with further improvement expected in future quarters.

On outlook front, the cement maker said that with a stable government and progressive policies, the Indian economy for FY'25 is expected to grow in the range of 6.5% to 7.0%, with growth in the cement industry likely to grow by 7.0% to 9.0%. An outlay of Rs 11.11 lakh crore for infrastructure projects has been allotted in Budget FY25 which represents 3.4% of GDP. Phase IV of Pradhan Mantri Gram Sadak Yojana (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.

Ajay Kapur, CEO Cement Business, Adani Group, said, ACCs performance strengthens our drive to consistently stay a frontrunner in the industry. Our performance this quarter exemplifies our efficiency and agility. Our strategic decisions, customer-centric approach, and operational excellence continue to drive growth. As we move forward, we remain committed to delivering value to our stakeholders in a sustainable manner.

ACC is a part of Adani Cement and one of India's leading producers of cement and ready-mix concrete. ACC has 16 cement manufacturing sites, over 85 concrete plants and a nationwide network of channel partners to serve its customers.

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