UltraTech Cement Q2 profit rises 53% to Rs251 cr

UltraTech Cement Q2 profit rises 53% to Rs251 cr

Mumbai: Aditya Birla Group company UltraTech Cement on Friday posted a profit after tax of Rs251 crore for the second quarter of this fiscal, a rise of 53% over that in the same period last year.

Net sales of the cement maker increased to Rs1,541 crore in the latest quarter from Rs1,396 crore of the corresponding quarter last year, UltraTech Cement said in a statement to the Bombay Stock Exchange (BSE).

Cement production of the company was higher by 12% to 3.73 MMT in the quarter ended 30 September, it said.

On outlook, UltraTech said it expects industry demand to grow at 9% in FY10 given the government’s initiatives to boost rural development, infrastructure and housing.

According to the cement manufacturer, the new capacities in the sector, which are at various stages of commissioning, will inevitably result in pressure on margins.

It also said that the board of directors has re-appointed S. Misra as managing director of the company till 31 March 2010, subject to the approval of the shareholders.

Shares of UltraTech were trading at Rs832 on BSE in afternoon trade, down by 1.51% over the previous close.