The India Cements reports Q3 loss of Rs 65.8 mn
Cement

The India Cements reports Q3 loss of Rs 65.8 mn

The India Cements reported a consolidated net loss of Rs 65.8 million for the third quarter ending December 2023, contrasting with a net profit of Rs 1112.2 million in the corresponding period of the previous year, as disclosed in a regulatory filing. The company's revenue from operations during this period stood at Rs 11.4446 billion, down from Rs 12.81 billion in the same quarter last year. Total expenses amounted to Rs 12.14 billion.

The company noted that its capacity utilisation was subdued at 51% for the third quarter, compared to 56% in the previous year's quarter and 61% in the second quarter of the current fiscal year. The cement and clinker volume for the quarter decreased by almost 9% to 19.85 lakh tonne, down from 21.82 lakh tonne in the prior year.

Despite lower capacity utilisation, the company managed to control variable costs through a reduction in power consumption and improved utilisation of alternative fuels and petcoke in the overall fuel mix. The company is actively working on disposing of non-core assets and has recovered Rs 4.55 billion of advances from April to December FY24 to enhance cash flow.

Efforts are underway to raise funds for plant efficiency improvements and working capital needs. The quarter saw an exceptional income of Rs 260 million from the profit on the sale of a ship. The company is strategically monetising non-core assets to boost liquidity, improve operating performance, and meet essential capital expenses.

Looking ahead, the company expressed optimism about the cement demand remaining robust, fuelled by an increasing preference for home ownership and the reconstruction of homes and workplaces. Additionally, it anticipates a boost in construction activity from heightened spending on infrastructure projects by the central and state governments ahead of the next Lok Sabha elections.?

The India Cements reported a consolidated net loss of Rs 65.8 million for the third quarter ending December 2023, contrasting with a net profit of Rs 1112.2 million in the corresponding period of the previous year, as disclosed in a regulatory filing. The company's revenue from operations during this period stood at Rs 11.4446 billion, down from Rs 12.81 billion in the same quarter last year. Total expenses amounted to Rs 12.14 billion. The company noted that its capacity utilisation was subdued at 51% for the third quarter, compared to 56% in the previous year's quarter and 61% in the second quarter of the current fiscal year. The cement and clinker volume for the quarter decreased by almost 9% to 19.85 lakh tonne, down from 21.82 lakh tonne in the prior year. Despite lower capacity utilisation, the company managed to control variable costs through a reduction in power consumption and improved utilisation of alternative fuels and petcoke in the overall fuel mix. The company is actively working on disposing of non-core assets and has recovered Rs 4.55 billion of advances from April to December FY24 to enhance cash flow. Efforts are underway to raise funds for plant efficiency improvements and working capital needs. The quarter saw an exceptional income of Rs 260 million from the profit on the sale of a ship. The company is strategically monetising non-core assets to boost liquidity, improve operating performance, and meet essential capital expenses. Looking ahead, the company expressed optimism about the cement demand remaining robust, fuelled by an increasing preference for home ownership and the reconstruction of homes and workplaces. Additionally, it anticipates a boost in construction activity from heightened spending on infrastructure projects by the central and state governments ahead of the next Lok Sabha elections.?

Next Story
Equipment

Handling concrete better

Efficiently handling the transportation and placement of concrete is essential to help maintain the quality of construction, meet project timelines by minimising downtimes, and reduce costs – by 5 to 15 per cent, according to Sandeep Jain, Director, Arkade Developers. CW explores what the efficient handling of concrete entails.Select wellFirst, a word on choosing the right equipment, such as a mixer with a capacity aligned to the volume required onsite, from Vaibhav Kulkarni, Concrete Expert. “An overly large mixer will increase the idle time (and cost), while one that ..

Next Story
Real Estate

Elevated floors!

Raised access flooring, also called false flooring, is a less common interiors feature than false ceilings, but it has as many uses – if not more.A raised floor is a modular panel installed above the structural floor. The space beneath the raised flooring is typically used to accommodate utilities such as electrical cables, plumbing and HVAC systems. And so, raised flooring is usually associated with buildings with heavy cabling and precise air distribution needs, such as data centres.That said, CW interacted with designers and architects and discovered that false flooring can come in handy ..

Next Story
Infrastructure Urban

The Variation Challenge

A variation or change in scope clause is defined in construction contracts to take care of situations arising from change in the defined scope of work. Such changes may arise due to factors such as additions or deletions in the scope of work, modifications in the type, grade or specifications of materials, alterations in specifications or drawings, and acts or omissions of other contractors. Further, ineffective planning, inadequate investigations or surveys and requests from the employer or those within the project’s area of influence can contribute to changes in the scope of work. Ext..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?