A worker unloads sacks of cement from a freight train in Mumbai, India (Photographer: Kuni Takahashi/Bloomberg)  

Q1 Results: ACC’s Profit Meets Estimate On Higher Other Income

ACC Ltd.’s quarterly profit rose in line with estimates as its other income jumped threefold.

Net profit rose 38.1 percent year-on-year to Rs 338.4 crore in the quarter ended March, according to its exchange filings. That compares with Rs 331-crore consensus estimate of analysts tracked by Bloomberg.

The cement maker, which follows calendar year as its fiscal, reported standalone other income worth Rs 152.5 crore during the January-March period.

Its revenue rose 8.2 percent over the last year to Rs 3,849.6 crore. That’s against the Rs 3,936-crore estimate. The company’s revenue from cement business stood at Rs 3,587 crore, while its ready-mix concrete segment contributed Rs 393 crore during the period.

ACC’s operating profit increased 8.1 percent on a yearly basis to Rs 531 crore—against Rs 598-crore projected. Its operating margin remained flat at 13.8 percent on account of higher cost of materials.

Other Highlights

(Year-On-Year)

  • Ebitda per tonne rose 2.3 percent to Rs 708, missing analyst expectation of Rs 787.
  • Realisations per tonne grew 2.5 percent to Rs 5,133.
  • Volumes rose 5.6 percent to 7.5 million tonnes.
  • Cost of material as a percent of net sales rose to 16.5 percent from 16.1 percent.
  • On an absolute basis, power and fuel expenses were up 6 percent at Rs 791.6 crore.