ACC Ltd has announced the financial results for the quarter ended March 31, 2019 (Q1 - CY2019).
Highlights Q1, 2019
- Profit After Tax up by 38%
- Operating EBITDA improved by 8%
- Net Sales increased by 8%
- Ready mix business volume growth sustained @19%
Net Sales during the quarter went up by 8% to Rs. 3850 Crore compared to Rs. 3557 Crore for the same quarter last year. Operating EBITDA for the quarter registered a growth of 8% to Rs. 532 Crore as against Rs. 492 Crore during the same quarter of the previous year.
The prices of fuel and slag rose in the quarter, which were mitigated by market initiatives, sustained cost reduction initiatives viz. material source-mix & fuel mix optimization and productivity improvement measures. Plant capacity utilization improved during the quarter.
Strict controls on third party spend resulted in lower fixed cost as well as Selling General& Administrative expenses(SG&A) on year on year basis.
The company's ready mix concrete business continues to deliver robust growth. Volumes of ready mix concrete grew strongly @19% and volumes of Value Added Solutions (VAS) also grew significantly in QI'19 year on year. Eight new plants were commissioned in the qu.arter bringing the total number of ready mix concrete plants to 80.
"Our three-pronged strategy of customised solutions for consumers, focus on premium products and operational improvements are enhancing our bottom-line and powering ACC's strong growth trajectory. ACC's brand campaign "Karein Kuch Kamaal" is receiving very positive response across markets and will help us build long-term brand equity. Our ready mix concrete business has demonstrated consistently strong volume growth quarter after quarter. We are also investing in a pipeline of solutions and products including a portfolio of dry mix products" said Neeraj Akhoury, Managing Director & CEO.
Predictions of a normal monsoon augur well for the rural economy. The Government's continued thrust on infrastructure development as well as Housing-for-All initiatives are expected to invigorate the construction sector and stimulate cement demand.
Shares of ACC LTD. was last trading in BSE at Rs.1666.8 as compared to the previous close of Rs. 1662.25. The total number of shares traded during the day was 132921 in over 3473 trades.
The stock hit an intraday high of Rs. 1683.4 and intraday low of 1645.45. The net turnover during the day was Rs. 222099438.