MUMBAI: India’s Ambuja Cements on Tuesday reported a better-than-expected fourth-quarter benefit, aided through larger executive spending on infrastructure and decrease uncooked subject matter prices.
Cement makers have observed costs of key uncooked fabrics reminiscent of coal and petcoke drop in fresh months, analysts say.
Ambuja’s benefit after tax for the quarter ended March 31 rose to five.02 billion rupees ($61.3 million) from 4.94 billion rupees a 12 months previous. Analysts, on moderate, had anticipated the Adani Group-owned corporate to file a benefit of four.55 billion rupees.
The margins on income sooner than passion, taxes, depreciation, and amortization expanded to 22.6% from 17.3% a 12 months previous after kiln gas prices fell 10%.
“With the rise in construction activities across our markets, we see the continuation of the elevated demand and strong volumes in the coming quarters as well,” Chief Executive Ajay Kapur mentioned in a observation.
“We are encouraged by the government’s increased spending on infrastructure development,” the corporate mentioned.
Revenue from operations climbed 8.4% to 42.56 billion rupees, whilst the board beneficial a last dividend of two.50 rupees in line with percentage for the fiscal 12 months that led to March.
The building up in income comes even because it halted operations at its vegetation in northern India’s Himachal Pradesh state for fifty days.
Late January, US-based short-seller Hindenburg Research raised issues about Ambuja’s new proprietor Adani Group’s debt ranges and use of tax havens, allegations the gang has denied. Ambuja’s stocks have fallen about 14% since then.
After purchasing Holcim AG’s cement companies in India – Ambuja and ACC Ltd – for $10.5 billion remaining 12 months, the debt-laden crew used to be reportedly having a look to promote a 4-5% stake in Ambuja Cements to chop its debt. Ambuja mentioned the corporate stays debt-free.
Last month, greater rival Ultratech Cement reported a 32% droop in March-quarter benefit.
Cement makers have observed costs of key uncooked fabrics reminiscent of coal and petcoke drop in fresh months, analysts say.
Ambuja’s benefit after tax for the quarter ended March 31 rose to five.02 billion rupees ($61.3 million) from 4.94 billion rupees a 12 months previous. Analysts, on moderate, had anticipated the Adani Group-owned corporate to file a benefit of four.55 billion rupees.
The margins on income sooner than passion, taxes, depreciation, and amortization expanded to 22.6% from 17.3% a 12 months previous after kiln gas prices fell 10%.
“With the rise in construction activities across our markets, we see the continuation of the elevated demand and strong volumes in the coming quarters as well,” Chief Executive Ajay Kapur mentioned in a observation.
“We are encouraged by the government’s increased spending on infrastructure development,” the corporate mentioned.
Revenue from operations climbed 8.4% to 42.56 billion rupees, whilst the board beneficial a last dividend of two.50 rupees in line with percentage for the fiscal 12 months that led to March.
The building up in income comes even because it halted operations at its vegetation in northern India’s Himachal Pradesh state for fifty days.
Late January, US-based short-seller Hindenburg Research raised issues about Ambuja’s new proprietor Adani Group’s debt ranges and use of tax havens, allegations the gang has denied. Ambuja’s stocks have fallen about 14% since then.
After purchasing Holcim AG’s cement companies in India – Ambuja and ACC Ltd – for $10.5 billion remaining 12 months, the debt-laden crew used to be reportedly having a look to promote a 4-5% stake in Ambuja Cements to chop its debt. Ambuja mentioned the corporate stays debt-free.
Last month, greater rival Ultratech Cement reported a 32% droop in March-quarter benefit.