Cement maker ACC on Monday reported a consolidated net loss of ₹87.32 crore for the September quarter on account of steep rise in fuel cost.
In a BSE filing, ACC Ltd., now a part of Adani Cement, said the company had posted a profit of ₹450.21 crore for the same quarter a year ago.
However, total revenue from operations grew by 6.42% to ₹4,057.08 crore in July-September as against ₹3,812.31 crore in the same period a year ago.
According to the ACC, its EBITDA in the quarter stood at Rs 16 crore “largely due to a steep increase in fuel costs” from Rs 712 crore earlier.
ACC’s total expenditure was ₹4,162.13 crore, a growth of 29.88% from ₹3,204.40 crore in July-September 2021.
ACC’s cement sales volume stood at 6.85 million tonnes in the quarter under review, as against 6.57 MT in the year-ago period.
Revenue from the cement segment stood at Rs 3,691.20 crore during the quarter, as against Rs 3,495.49 crore in the year-ago period.
Revenue from ready-mix concrete grew by 15.79% to ₹353.26 crore from ₹305.07 crore a year ago.
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 a sharp rise in fuel prices. Will affect us positively.”
He said the company has “aggressive development plans” and that its capacity expansion initiatives through new green sector projects in Ametha, Madhya Pradesh are progressing well and are expected to be operational by March 2023.
On September 15, 2022, Endeavor Trade and Investment Ltd., a unit of the Adani family, acquired a stake in the Holcim Group and as a result, its board was reconstituted.
“The Group has terminated its agreement with Holcim Technology Limited for payment of technology and information of 1% of eligible net sales with effect from September 16, 2022,” it said.
Apart from this, its board has also approved to change the financial year of the company from January-December to April-March.
“Accordingly, the current financial year ending March 31, 2023 has been extended by three months,” the ACC said.
The ACC Board also approved shifting of the Registered Office of the Company from Mumbai to Adani Corporate House in Ahmedabad.
On Monday, ACC shares closed at Rs 2,269.70 on BSE, up 1.09% from the previous close.