UltraTech Cement expected to report 29% fall in profit

UltraTech Cement is expected to report a 29 per cent YoY drop in net profit to INR12,140m (US$151.9m) for the three months ended 30 June 2022, compared to INR17,000m in the same quarter a year earlier.

According to The Economic Times, the fall is due to a 10-15 per cent YoY surge in power and fuels costs, as petcoke and thermal coal prices remain elevated, along with an estimated 5-7 per cent uptick in freight costs.

Revenue for the quarter is expected to come in at INR142,380m, up 20 per cent YoY, while EBITDA is forecast to see a 25 per cent YoY decline to INR24,750m with margins contracting to 17 per cent, versus the 28 per cent reported in the same period in 2021.