UltraTech Q4 net up 47% to £2,613.75 million, revenue exceeds £50,000 million


UltraTech Cement, an Aditya Birla group company, on Friday reported a 47.32% increase in its consolidated net profit to £2,613.75 billion for the fourth quarter ended March 2022, led by an improving demand situation and effective capacity utilization.

Operating income for the year ended 31 March 2022 was £52,598.83 billion.

According to the company, UltraTech Cement has now grown to a 50,000 crore turnover company and is the first Indian cement company to reach this milestone.

The leading cement maker had reported £1,774.13 billion in net profit in the January-March quarter a year ago, UltraTech Cement said in a regulatory filing.

Operating income increased 9.45% to ₹15,767.28 billion for the quarter versus 14,405.61 crore for the same quarter last year.

“After a slow start to the quarter, demand improved month-on-month, driven by an improvement in the execution of various government projects,” UltraTech said in the earnings statement.

During the quarter, UltraTech’s consolidated sales volume was 27.69 MT (million tons).

While input cost inflation remains a concern given the rise in fuel and diesel prices, she added.

“The company saw energy costs increase by 48%, with petroleum coke and coal prices doubling during the period. Raw material costs increased 7% due to increases in fly ash, bauxite, gypsum and HSD costs. The Company’s diligent efforts to manage working capital and control cash flows have continued relentlessly,” said UltraTech Cement.

During the quarter, UltraTech achieved an effective capacity utilization of 90%.

UltraTech Cement’s total expenditures were ₹13,604.20 billion, up 15.38% in Q4/FY2021-22 versus 11,790.41 crore.

For the year ended March 2022, UltraTech Cement’s consolidated net income increased by 34.28% to £7,334.26 billion. In the previous year it had reported a net profit of ₹5,461.85 million.

Revenue from operations was £52,598.83 billion in 2021-22. This is 17.60% higher than ₹44,725.80 billion of FY2020-21.

UltraTech said that “FY22 volume grew 8.8% to 93.99 million tons,” the company said in an investor presentation after the earnings.

Meanwhile, UltraTech said in a separate filing that its board had recommended a dividend of £38 per share of £10 each for FY22 at a meeting on Friday.

However, this would be subject to shareholder approval at the company’s subsequent annual general meeting, she added.

In terms of CAPEX, UltraTech said its current expansion program is on track and expected to be completed by the end of FY23.

UltraTech’s capital and financial resources remain fully protected and its liquidity position is adequately funded, it added.

Commenting on the outlook, UltraTech said, “Rural and urban demand is also expected to pick up going forward. All of this bodes well for the company.”

Shares in UltraTech Cement Ltd closed at ₹6,629 on the BSE on Friday, up 0.25% from the previous close.

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