Shree Cement has reported a growth of 105.10 per cent in its net consolidated profit during the quarter ended June 30, 2023. Its profit after tax stood at Rs 571.94 crore in Q1 FY24 as against Rs 278.86 crore it registered in the corresponding quarter of the previous fiscal, the company said in a BSE filing.
The company’s net consolidated total income stood at Rs 5,233.90 crore in Q1 FY24, a growth of 19.09 per cent from Rs 4,394.75 crore it recorded in the similar quarter last year.
The board of directors approved raising of funds by way of issuance of non-convertible debentures (NCDs) aggregating to an amount upto Rs 1,000 crore in one or more tranches on private placement basis.
Neeraj Akhoury, managing director of the company said, “We have started the trial commissioning of our new unit at Purulia, West Bengal and are confident to commence operations of new plants at Nawalgarh in Rajasthan and Guntur in Andhra Pradesh within scheduled timelines. We are also happy to announce our next phase of capacity expansion projects of 12 million tonnes that will take the group’s cement capacity to 72.4 million tonnes. We have set an ambitious goal of taking our capacity beyond 80 million tons in the coming years and are aggressively charting out action plans to implement the same.”
During the quarter ended June 30, 2023, Shree Cement East, wholly-owned subsidiary of the company, has commenced trial production at its clinker grinding unit at Village Digha & Parbatpur, in Purulia district of West Bengal with cement capacity of 3 MTPA.
The Income Tax department conducted survey operations under Section 133A of th Income Tax Act at the company’s selected premises from June 21, 2023 to June 26, 2023. The company said that it extended full co-operation to the department.
The company has received a notice from the ministry of corporate affairs ordering inspection under Section 206(5) of the Companies Act, 2013. The company said that it will comply with the directions.
As of June 30, 2023, its net worth was Rs 18,676.82 crore, debt-equity ratio was 0.08, current liability ratio was 87%, total debts to total asssets was 10%, operating margin was 22% and net profit margin was 12%.
The company has started 12 million tons cement capacity expansion projects in Rajasthan, Uttar Pradesh and Karnataka at a total investment of about Rs 7,000 crore.
The company reduced net Scope 1 emissions to 502 kg CO2 per ton of cementitious materials representing a reduction of 4% compared to the previous year. As part of its decarbonization drive, the company increased share of green power in total power consumption to 56% in Q1 FY24.