ACC shares rallied 11% on January 25 after the cement maker reported solid financial results for the October to December 2023 quarter. The company’s profit jumped to ₹527.5 crore for the third quarter of the fiscal from ₹110.4 crore in the corresponding quarter of the previous year.
Its revenue rose 8.4% year-on-year to ₹4,918.3 crore, compared to ₹4,536.9 crore in the December ended quarter of the previous fiscal. This came against the backdrop of 17% year-on-year growth in cement and clinker sales volumes.
The EBITDA, or earnings before interest, taxes, depreciation, and amortisation increased manifold to ₹903.2 crore from ₹378.5 crore in the year ago period.
ACC Cement’s margin expanded to 18.4% for the third quarter of the fiscal as against 8.3% in the same period last year.
ACC's power and fuel costs dropped 10%, leading to a 1.5% slip in total expenses. "Opportunity buy of low-cost petcoke will help to further optimise fuel costs in the coming quarters," the company said in a statement.
Price hikes and sustained infrastructure demand helped larger rival UltraTech Cement post third-quarter profit and revenue above estimates last week.
First Published: Jan 25, 2024 3:04 PM IST
