Grasim Industries sees 41% YoY rise in revenue in 1QFY23

Grasim Industries has reported a 41 per cent YoY increase in consolidated revenue in the 1QFY23. The three-month period saw revenue of INR280,420m (US$3518m), compared to INR199,190m in the 1QFY22. EBITDA advanced by 10 per cent YoY from INR47,360m to INR52,330m, while profit after tax saw a 19 per cent YoY rise from INR16,670m to INR19,330m on a consolidated basis. Despite inflationary cost pressures, the company also reported its best-ever standalone financial performance with revenue and operating EBITDA at an all-time high, improving by 93 and 69 per cent YoY, respectively. 

The company has announced its launch of a B2B e-commerce platform for the building materials segment with an investment of around INR20,000m over the next five years. The platform will primarily focus on MSMEs in the building materials sector with the potential to further extend it into other relevant categories. The key value proposition would be an integrated procurement solution, including on-time delivery and a superior product range at competitive pricing. 

Capacity expansion of its cement subsidiary, UltraTech Cement Ltd, is also on track. On completion, the company’s total grey cement production capacity in India will be 131.25Mta, which is expected to rise to 153.85Mta by FY25. Cement demand over the next five years is forecast to grow at a CAGR of eight per cent, according to the company.