Cement maker ACC on Monday reported a consolidated net loss of ₹87.32 crore for September quarter on account of a steep rise in fuel cost.
The company had posted a profit of ₹450.21 crore for the same quarter a year earlier, said ACC Ltd, now a part of Adani Cement, in a BSE filing.
However, total revenue from operations was up 6.42% to ₹4,057.08 crore in July-September as against ₹3,812.31 crore in the corresponding period a year earlier.
According to ACC, its EBITDA in the quarter “stood at ₹16 crore largely due to steep rise in fuel cost” as against ₹712 crore earlier.
Total expense of ACC was at ₹4,162.13 crore, up 29.88% from ₹3,204.40 crore in July-September 2021.
ACC’s cement sales volume in the quarter under review was up at 6.85 million tonne as against 6.57 MT in the year-earlier period.
During the quarter, revenue from the cement segment was Rs 3,691.20 crore as against Rs 3,495.49 crore in the corresponding period a year ago.
Revenue from ready-mix concrete was up 15.79% to ₹353.26 crore from ₹305.07 crore a year earlier.
Commenting on the results, ACC CEO and Whole Time Director Sridhar Balakrishnan said: “We have had significant cost pressures in the recent past due to steep fuel price rise. However, the recent cooling off in energy costs will impact us positively in the coming quarters.”
The company has “aggressive growth plans” and its capacity expansion initiative through new green field projects at Ametha, Madhya Pradesh is progressing well and is expected to be commissioned by March 2023, he added.
On September 15, 2022, Endeavour Trade and Investment Ltd., an entity of Adani family, acquired shareholding of Holcim Group and consequently, its board was reconstituted.
“The group with effect from September 16, 2022, has terminated its agreement with Holcim Technology Ltd. for payment of technology and know-how fees of 1% of eligible net sales,” it said.
Moreover, its board has also approved the change of financial year of the company from January-December to April-March.
“Accordingly, the current financial year has been extended by three months to end on March 31, 2023,” ACC said.
ACC board also approved shifting the registered office of the company from Mumbai to Ahmedabad-based Adani Corporate House.
Shares of ACC on Monday settled at ₹2,269.70 apiece on the BSE, up 1.09% from the previous close.
