India’s leading cement company , UltraTech Cement which recently acquired cement giant Jai Prakash Associates Limited for a whopping 16,000 crores INR saw a high rise in its fourth quarter of Financial Year end. The company reported it as a higher capacity utilization of 84% ending up at 722.56 crores INR net profit.
Although the company faced a slowdown in Januar and little rise in February, it manged to hold itself in BSE on Monday for fourth quarter and financial year 2015-16. The shares were .31% low staggering at 3,267.55 crores INR on Tuesday. Soon, it saw a rise estimating 10% increase in comparison to last year’s estimated cost 657.20 crores INR. The total sales of UltraTech settled down with a cost of 6,850 crores INR in its fourth quarter net results.
According to Sidharth Purohit, Senior Equity Analyst, Angel Broking Brokerage Firm,Though cement prices started picking up from March 2016, the real impact of the same will be visible in the coming quarters and we believe earnings could improve further in financial year 2017.
The cement company’s net sales for financial year 2015-16 was 25,281 crores INR which had been a rise of 5% and the net profit increased 9% with estimated cost of 2,287 crores INR. As the compnay is listed in BSE thus the per equity share cost was 83.33 INR eventually risen in comparison to previous financial year. Also, the compnay offered a dividend for 9.5 INR per share.
India’s largest cement conglomerate witnessed a 15% rise in volume sales per 13.20 million tonnes in fourth quarter of financial year where as average realization fell up to 9% in 4,609 INR per tonne.
The company’s authoritative official stated that “the gains to the company from the uptick in cement prices should reflect from this year.”