PRESS RELEASEApril 22, 2002GUJARAT AMBUJA CEMENTS LTD FARES WELL DURING THE 3RD QUARTER ENDING MARCH 2002 |
Gujarat Ambuja Cements Limited has fared well during the 3rd quarter ending March 2002 with higher sales volume and value.
During the 3rd quarter it has sold 20.01 lac tonnes of cement against 15.42 lac tonnes in the corresponding quarter in the previous year, an increase of 30%. The turnover during the period was Rs.430.35 crores against Rs.386.25 crores, an increase of 11%.
Despite low cement prices prevailing in all the markets and higher cost due to increase in fuel prices, company has done fairly well during the quarter. The Operating Profit is at Rs. 119.43 crores as against Rs.130.56 crores in the previous year. There has been a substantial reduction in the interest cost which is at Rs.21.83 crores against Rs. 31.95 crores, a decrease of 32%. After charging depreciation of Rs.33.72 crores ( Rs.34.38 crores in the previous year), Profit before Tax is Rs.63.88 crores as against Rs.64.23 crores. After providing for tax of Rs.4.50 crores (as against Rs.5.50 crores in the previous year), the Profit after Tax is Rs.59.38 crores as against Rs.58.73 crores in the corresponding quarter in the previous year.
As per the new Accounting Standard (AS22), company has recognized a deferred tax liability and accordingly provided for Rs.5.00 crores
The construction work on the new cement plant at Chandrapur, Maharashtra has been completed and the plant is under trial operations. It is expected to commence commercial production soon.
The growth in demand for cement during the financial year 2001-02 have been very good and for the first time the industry has produced and dispatched more than hundred million tonnes of cement, 102.4 million tonnes. The growth in demand of cement in the domestic market was about 10% at around 100 million tonnes. It is expected that the growth in demand will further accelerate during this year as demand for housing and construction of new roads are progressing well.