UltraTech Cement Q3 Results: Net Profit Plummet 17% To Rs 1,470 Crore
UltraTech Cement reported a 17 per cent year-on-year (YoY) decline in consolidated net profit of Rs 1,470 crore for the third quarter of the financial year 2024-25. UltraTech Cement's consolidated revenue from operations rose nearly 3 per cent YoY to Rs 17,193 crore, surpassing the estimated Rs 16,696 crore, driven by volume growth across segments and improved price realisations. Following the results announcement, UltraTech's share price surged nearly 6 per cent, trading at Rs 11,333 on the NSE, extending pre-results gains. EBITDA declined 8 per cent YoY to Rs 3,131 crore. However, operating EBITDA per tonne for domestic grey cement showed a sequential improvement, rising to Rs 964. While realisation per tonne for grey cement fell 9.6 per cent YoY, it saw a 1.4 per cent QoQ increase, reaching Rs 4,970. Additionally, The company reported a decrease in logistics and fuel costs, driven by shorter lead distances, enhanced operational efficiencies, and a greater share of green power, which rose to 33.4 per cent in Q3 FY25, up from 24.1 per cent in the same period last year. UltraTech reported a 13 per cent YoY increase in sales volumes in rural areas, reflecting strong economic conditions in rural markets, supported by higher minimum support prices for crops and favourable monsoon rains. However, due to heightened competitive pressure, with both large and smaller players undercutting each other, cement prices remained subdued for most of the quarter, with only incremental price increases in December. This pricing environment impacted UltraTech's domestic revenue from grey cement in the October-December quarter, which saw a slight decline to Rs 13,969 crore, despite a 10.5 per cent increase in demand for the product during the same period. Analysts noted that cement prices were flat in October and November, partly due to the festive season in several states, unseasonal rains, and weaker-than-expected demand from infrastructure projects. Also Read : Narayana Murthy Clarifies His Stance On Working 70 Hours Per Week, Here's What He Said
UltraTech Cement reported a 17 per cent year-on-year (YoY) decline in consolidated net profit of Rs 1,470 crore for the third quarter of the financial year 2024-25. UltraTech Cement's consolidated revenue from operations rose nearly 3 per cent YoY to Rs 17,193 crore, surpassing the estimated Rs 16,696 crore, driven by volume growth across segments and improved price realisations.
Following the results announcement, UltraTech's share price surged nearly 6 per cent, trading at Rs 11,333 on the NSE, extending pre-results gains.
EBITDA declined 8 per cent YoY to Rs 3,131 crore. However, operating EBITDA per tonne for domestic grey cement showed a sequential improvement, rising to Rs 964. While realisation per tonne for grey cement fell 9.6 per cent YoY, it saw a 1.4 per cent QoQ increase, reaching Rs 4,970.
Additionally, The company reported a decrease in logistics and fuel costs, driven by shorter lead distances, enhanced operational efficiencies, and a greater share of green power, which rose to 33.4 per cent in Q3 FY25, up from 24.1 per cent in the same period last year.
UltraTech reported a 13 per cent YoY increase in sales volumes in rural areas, reflecting strong economic conditions in rural markets, supported by higher minimum support prices for crops and favourable monsoon rains.
However, due to heightened competitive pressure, with both large and smaller players undercutting each other, cement prices remained subdued for most of the quarter, with only incremental price increases in December. This pricing environment impacted UltraTech's domestic revenue from grey cement in the October-December quarter, which saw a slight decline to Rs 13,969 crore, despite a 10.5 per cent increase in demand for the product during the same period.
Analysts noted that cement prices were flat in October and November, partly due to the festive season in several states, unseasonal rains, and weaker-than-expected demand from infrastructure projects.
Also Read : Narayana Murthy Clarifies His Stance On Working 70 Hours Per Week, Here's What He Said
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