UltraTech quarterly revenue rises 15% YoY

India's largest cement producer, UltraTech Cement, reported a 15 per cent YoY increase in net sales for the quarter ended 31 December 2014 to INR54.9bn.

Earnings before interest depreciation and tax for the three months was up 14.5 per cent to reach INR9.9bn, but profit after tax (PAT) dipped 1.6 per cent to INR3.64bn, compared to the same period of last year. For the first nine months of the current fiscal, revenues jumped 16 per cent and PAT rose seven per cent.

Combined domestic cement and clinker sales increased to 10.98Mt versus 9.98Mt, previously.

Going forward, UltraTech expects the business to remain challenging. It expects long term demand growth to be around eight per cent sixth housing and infrastructure the main drivers.

Definitive agreement
During the quarter, UltraTech's board approved the acquisition of Jaiprakash Associate's Bela and Sidhi cement businesses in Madhya Pradesh, which together have a  capacity of 4.9Mta. The companies have entered into a definitive agreement and upon completion the deal will raise UltraTech's cement capacity from c60-65Mta to c71Mta in 2016.