UltraTech Cement posts volume growth of 16%

UltraTech Cement Ltd (Aditya Birla Group) has announced its financial results with a robust volume growth of 16 per cent for the quarter ended 30 September 2023. 

Cement demand also maintained its positive momentum during the 2QFY23-24. The company witnessed demand from all sectors, fuelled by government led infrastructure, rural development and urban residential demand.

Consolidated net sales was INR157,350m (US$1.89bn) compared to INR135,960m over the corresponding period of the previous year. Profit before interest, depreciation and tax was INR27,180m compared to RINR20,130m. Profit after tax was INR12,810m compared to INR7560m. 

UltraTech achieved capacity utilisation of 75 per cent during the quarter on expanded capacity. Energy cost was lower by 10 per cent YoY, while raw material cost rose four per cent on account of increase in cost of fly ash and slag.

Expansion programme
UltraTech’s on-going expansion programme is progressing as per schedule. 5.5Mta capacity has already been commissioned during this financial year following a 12.4Mta capacity addition during the FY22-23. The company also commissioned 30MW of WHRS capacity during the quarter. Green power now contributes 22 per cent of the total power requirement with 262MW of WHRS and 429MW of renewable energy. 

The company’s total grey cement manufacturing capacity in India now stands at 132.45Mta. Work on the second phase of growth of 22.6Mta is in full swing. As part of this project, the company is adding another 1.8Mta of slag grinding capacity taking total of phase 2 to 24.4Mta. Commercial production from all these new capacities is expected to go on stream in a phased manner by FY24-25/FY25-26.