Coal news and updates

ACC net profit drops 51% to Rs 119 crore in Q3

October 30: ACC Limited, one of the leading cement manufacturers in India, reported 50.86% drop in its net profit to Rs 118.90 crore in the quarter ended September 30, 2013 (Q3, 2013), compared to a net profit of Rs 241.96 crore in the corresponding period last year (Q3, 2012) said a company release.

However, for the first nine months (January-September 2013), the net profit of the company rose marginally to Rs 818.96 crore compared to Rs 808.04 crore net profit earned in the same period in January-September, 2012.

The consolidated turnover for the company stood at Rs 2,508.65 crore in Q3, 2013 compared to Rs 2,542.37 crore in Q3, 2012.

The operating earnings before interest, taxes, depreciation and amortization (EBITDA) declined to Rs 286.56 crore in Q3 2013 compared to Rs 466.07 crore in Q3 2012, registering a 38.52% drop.

Following are the Q3 result of ACC Limited in 2013 and 2012

* ACC Limited's financial year is at per with the calendar year. 

The company said that the main reasons for drop in the net profit are sluggish market conditions and lower realization.

The company release said, "Overall the macro environment continued to be dull and characterised by low industrial and agricultural growth, rising prices and volatile foreign exchange rates."

The company, however, claims to have countered increasing prices of diesel, coal and railway freight through its operations, sales and logistics improvement initiatives.

The company expects a gradual but slow improvement in the demand of cement in coming months.

Commenting on the capex plan, the company said its Jamui expansion project is progressing well while work has commenced at the Sindri site.