Saturday, December 2, 2023

Birla Corporation Limited’s profit jumps on the back of Mukutban ramp-up

Birla Corporation Limited’s September quarter profitability jumped in spite of seasonal factors on the back of Mukutban ramp-up, cost-initiatives, premiumisation and optimisation of power and fuel mix and aided by softening fuel prices.

Consolidated cash profit for the quarter at Rs221 crore rose 414% over last year, and net
profit for the quarter was at Rs58 crore against a net loss of Rs56 crore in the comparable
period a year ago. For the six months till the end of September 2023, the Company’s consolidated net profit was at Rs118 crore against Rs5 crore a year ago.

Speaking on the occasion, Chairman Harsh V. Lodha said: “The Company has recorded steady progress in the last three quarters, recovering from the power and fuel cost shock of 2022, triggered by the Ukraine crisis. The results were achieved despite cement prices remaining flat and many of our core markets affected by heavy rains and other seasonal factors. This vindicates our strategy and initiatives on multiple fronts. The ramp-up of Mukutban operations has been progressing as per plan notwithstanding the tepid market
conditions in the region. We are well on track to meet our targets in the near term.”

Consolidated revenue for the September quarter at Rs2,313 crore was up 13.3% year-on-
year, Realisation per ton during the quarter at Rs5,062 was marginally lower, sequentially and year-on-year, due to soft pricing situations across markets. However, sales by volume
grew 14.8% to 4.18 million tons (mt) in the September quarter, against 3.64 mt in the same period last year. Capacity utilisation increased to 83% (74% a year ago) and 87% for the six months till the end of September (81% last year), primarily due to scaling up of production at Mukutban, a unit of the Company’s subsidiary, RCCPL Pvt. Limited.

Recent Articles

Related Stories

Leave A Reply

Please enter your comment!
Please enter your name here

Stay on op - Ge the daily news in your inbox