New Delhi, Oct 24 (PTI) Cement maker ACC Ltd on Thursday reported a consolidated profit after tax of Rs 199.7 crore for the second quarter ended September 30, 2024.
The company had logged a profit after tax (PAT) of Rs 387.88 crore in the corresponding period last fiscal, ACC Ltd said in a regulatory filing.
Revenue from operations in the second quarter stood at Rs 4,613.52 crore as compared to Rs 4,434.73 crore in the year-ago period, it added.
ACC said its Q2 revenue is the highest over the last five years driven by higher trade sales volume and premium product as percentage of trade sales.
Total expenses were higher at Rs 4,452.73 crore as compared to Rs 4,127.11 crore.
The results for the quarter and half year ended September 30, 2024 are not comparable with the year-ago periods as these include consolidated financial results of Asian Concretes and Cements Pvt Ltd (ACCPL), which ACC Ltd took control of on January 8, 2024, the filing said.
ACC had acquired the remaining 55 per cent of the voting share capital of ACCPL along with its step-down wholly-owned subsidiary Asian Fine Cements Pvt Ltd (AFCPL) for a cash consideration of Rs 422.63 crore.
"Our growth is being driven by robust demand for high-quality cement products across all markets...," ACC Ltd Whole Time Director & CEO Ajay Kapur said.
He further said,"Our financial results this quarter, fuelled by higher volumes, cost optimization, increasing efficiencies, and agility, build the momentum for our growth strategy for FY'25 and beyond."
On the outlook, the company said, overall, industry expects improvement in demand in H2 FY25, which is likely to be driven by post monsoon pickup in construction and housing activity.
The government's continued focus on infrastructure development - roads, highways, railways, and metros - will continue to be the key demand driver, it added.
Sanction of additional houses under Pradhan Mantri Awas Yojana (rural and urban) along with increase in industrial and commercial capex is expected to meaningfully create future cement demand, the company said.
"We expect cement demand to register growth of 4-5 per cent during FY 2025," it added.