UltraTech Cement on Friday reported a 45.2 per cent decline in consolidated net profit to Rs 1,774.13 crore for the fourth quarter ended March 2021 on account of reversal of deferred tax liabilities. The leading cement producer had posted a net profit of Rs 3,236.85 crore in the January-March quarter a year ago, it said in a BSE filing.
However, its revenue from operations rose 32.72 per cent to Rs 14,405.61 crore as against Rs 10,854.48 crore in the corresponding period of the last fiscal.
According to UltraTech, the net profit for the quarter was lower because of reversal of deferred tax liabilities.
“One time gain on account of reversal of deferred tax liabilities of Rs 2,112 crore in consolidated performance and Rs 1,805 crore in standalone performance for FY20 has been eliminated to derive the Normalised PAT for FY20 for a correct comparison with FY21,” UltraTech said in a post-earnings statement.
Profit before interest, depreciation and tax was Rs 3,751 crore versus Rs 2,645 crore in the corresponding period of the previous year, it said.
“Profit after tax was Rs 1,775 crore compared to Rs 1,129 crore in the corresponding period of the previous year,” UltraTech Cement added.
Total expenses were at Rs 11,790.41 crore, up 22.9 per cent from Rs 9,593.26 crore earlier.
For the fiscal year 2020-21, UltraTech Cement’s net profit slipped 5.03 per cent to Rs 5,461.85 crore as against Rs 5,750.88 crore in the previous fiscal.
However, revenue from operations rose 5.41 per cent to Rs 44,725.80 crore. It was Rs 42,429.89 crore in 2019-20.
UltraTech Cement said its board in a meeting held on Friday recommended a dividend of 370 per cent, which is Rs 37 per equity share of face value of Rs 10 each, aggregating Rs 1,068.02 crore.
On its expansion, UltraTech said its board had earlier sanctioned capacity expansion plans of 19.5 million tonnes through a mix of brownfield and greenfield expansion in the fast-growing markets of the east, central and north regions of the country.
“Most of the orders for equipment have been placed and civil work has also commenced at these locations. Commercial production from these capacities is expected to go on stream in a phased manner, during FY22 and FY23,” it said.
After completion of the latest round of expansion, UltraTech’s capacity will grow to 136.25 million tonnes per annum (MTPA), reinforcing its position as the third-largest cement company in the world, outside of China, it said.
Over the outlook, the company said while rural and semi-urban housing continues to drive growth, pick-up in government-led infrastructure aided incremental cement demand. Pent-up urban demand is also expected to improve.
“The Company is closely monitoring the impact of the second wave of the pandemic on its operations. With its focus on operational efficiencies and cost control, UltraTech is better prepared for any resulting slowdown in the economy,” it said.
Shares of UltraTech Cement Ltd on Friday settled at Rs 6,484.80 on BSE, up 1.23 per cent from the previous close.
