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ACC’s profit declines 20.4% in Q4 FY25

ACC Ltd, announced a 20.4 percent decrease in its consolidated net profit, reporting Rs 751.04 crore for the March quarter. This is a decline from the profit of Rs 943.39 crore recorded in the same period last year, as stated in a regulatory filing from ACC, which is now part of Adani Cement.

The company’s operational revenue reached Rs 5,207.3 crore, reflecting a 12.7 percent increase compared to Rs 5,316.75 crore in the corresponding quarter of the previous year. Additionally, ACC’s total expenses for the March quarter amounted to Rs 5,514.82 crore, marking a rise of 13.11 percent. Furthermore, the revenue generated from ACC’s cement operations was Rs 5,685.53 crore, which is an increase of 11.14 percent.

In the recent quarter, ACC announced a sales volume of 11.9 million tonnes, reflecting a 14 percent increase, which the Adani group company claims is the “highest sales volume recorded in a single quarter” for the organization. Additionally, revenue from ready mix concrete reached Rs 419.92 crore, marking a 32.12 percent rise in the March quarter. The total income of ACC, encompassing other income, amounted to Rs 6,066.52 crore, representing a 12 percent increase in the March quarter of FY25.

The company stated that this is the “highest quarterly revenue ever achieved.” For the financial year concluding on March 31, 2025, ACC’s net profit stood at Rs 2,402.27 crore, an increase of 2.87 percent. Furthermore, in FY25, ACC’s total income was Rs 22,834.74 crore, up 11.65 percent from Rs 20,451.77 crore the previous year.

In response to these results, Whole-Time Director & CEO Vinod Bahety remarked, “This year has been characterized by strategic milestones that strengthen our leadership in the Indian cement sector. Our capacity expansion efforts, including the launch of new grinding units supported by debottlenecking and modernization, are in line with the nation’s growing infrastructure and surging demand.” The ACC board has sanctioned a dividend of Rs 7.50 per equity share with a face value of Rs 10 each, fully paid-up for 2024-25, which the company states is in light of ongoing capital expenditure and growth strategies.

ACC has projected a growth rate of 7-8 percent for the upcoming fiscal year, fueled by sustained demand in the housing and infrastructure sectors, along with the positive effects of the pro-infrastructure and housing Budget 2025.

Cement consumption experienced an 8 percent increase in Q4 FY25, slightly surpassing the 7 percent growth recorded in the preceding quarter. This rise in demand can be attributed to a resurgence in construction activities, enhanced rural demand, momentum in the real estate market, and heightened government investment in infrastructure and construction projects.

Based on the growth patterns noted in Q3 and Q4 FY25, it is anticipated that cement demand in FY26 will continue to benefit from the momentum established by government expenditures on infrastructure and construction initiatives. On Wednesday, ACC Ltd’s shares closed at Rs 2,068 on the BSE, reflecting a 0.79 percent increase from the previous closing price.

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