Ramco Cement Posts 64% Profit Drop
Cement

Ramco Cement Posts 64% Profit Drop

Ramco Cements has posted a sharp decline in net profit for Q2 FY25, with a decrease of 64.21% compared to the same period last year. This drop in earnings is attributed to a combination of factors, including rising input costs, lower demand, and increased competition in the cement industry.

For the quarter, the company recorded a net profit of ?98.4 crore, down from ?274.4 crore in Q2 FY24. The cement major faced pressures from higher raw material and energy costs, which impacted margins. Additionally, subdued demand for cement in certain regions, as well as challenges in passing on cost increases to customers, contributed to the decline.

However, despite the fall in profitability, Ramco Cement remains optimistic about the long-term growth prospects, driven by infrastructure development, increasing urbanization, and government initiatives to boost construction activity. The company plans to focus on cost optimization and capacity expansion to regain its financial footing and improve its margins in the coming quarters.

In terms of volume growth, Ramco Cements has seen some regional fluctuations, with stronger demand in specific markets, though overall growth has been restrained. The company is focusing on expanding its footprint in key markets and increasing production efficiency to navigate the current challenging environment.

Ramco Cements has posted a sharp decline in net profit for Q2 FY25, with a decrease of 64.21% compared to the same period last year. This drop in earnings is attributed to a combination of factors, including rising input costs, lower demand, and increased competition in the cement industry. For the quarter, the company recorded a net profit of ?98.4 crore, down from ?274.4 crore in Q2 FY24. The cement major faced pressures from higher raw material and energy costs, which impacted margins. Additionally, subdued demand for cement in certain regions, as well as challenges in passing on cost increases to customers, contributed to the decline. However, despite the fall in profitability, Ramco Cement remains optimistic about the long-term growth prospects, driven by infrastructure development, increasing urbanization, and government initiatives to boost construction activity. The company plans to focus on cost optimization and capacity expansion to regain its financial footing and improve its margins in the coming quarters. In terms of volume growth, Ramco Cements has seen some regional fluctuations, with stronger demand in specific markets, though overall growth has been restrained. The company is focusing on expanding its footprint in key markets and increasing production efficiency to navigate the current challenging environment.

Next Story
Infrastructure Transport

Mumbai-Ahmedabad Bullet Train Set to Launch by 2028

India’s first bullet train is set to revolutionize high-speed travel along the western corridor, with the Mumbai-Ahmedabad high-speed rail project aiming for a 2028 launch. This announcement marks a major milestone in India’s infrastructure goals, as it promises to reduce travel time between the two economic hubs from eight hours to just three.Spanning a planned 508-kilometre stretch, the corridor stands as a flagship example of Indo-Japanese collaboration in technology and engineering. Once operational, the train is expected to transform intercity mobility and place India among the select..

Next Story
Infrastructure Transport

Mumbai-Gandhinagar Train Service Enhances Passenger Capacity

The Mumbai Central–Gandhinagar Capital Vande Bharat Express has increased its passenger capacity by adding four additional AC chair car coaches to meet the growing commuter demand on one of India’s busiest business corridors. This upgrade, effective from 11 May, raised the train’s seating capacity from 1,128 to 1,440 passengers, allowing it to serve 936 more passengers daily in both directions. The increase was described as a practical measure to accommodate the surging demand on the busy Mumbai–Ahmedabad–Gandhinagar route, which regularly operates at over 150 percent seat occupancy...

Next Story
Infrastructure Urban

Delhi Plans 12 Sewage Plants to Clean Najafgarh Drain Efficiently

Delhi’s ambitious plan to improve the water quality of the Yamuna River has gained significant momentum as the Delhi Jal Board (DJB) has begun work on 12 new sewage treatment plants (STPs) aimed at reducing the volume of untreated sewage being discharged from the Najafgarh Drain.This initiative forms part of the ongoing efforts to clean the Yamuna and restore the river’s health, which has long been a critical environmental issue for the national capital. Given the alarming pollution levels in the Yamuna, experts and officials consider this project a vital step toward addressing the persist..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?