Mumbai: Cement manufacturer Shree Cement Ltd on Friday posted a 3% increase in its net profit at 309.95 crore in the quarter ended December 31, 2019 helped by drop in fuel and other input costs.

In a filing to the BSE, the Kolkata-headquartered firm’s net revenue stood at 2,848.34 crore, up 2% from the year-ago period. The company said cement sales went up 6% to 5.98 million ton from 5.64 million ton recorded in the corresponding quarter of the previous year.

“With continuous focus on premium brand segment and reduction in fuel and other input costs, the EBITDA (earnings before interest, taxes, depreciation, and amortization) and net profit of the company increased during the quarter ended 31st December, 1920," Shree Cement said in a statement.

The company’s expenses, during the reporting quarter, on power and fuel fell by 37% to 479.32 crore from 659.08 crore posted in the corresponding period in the previous financial year.

During December quarter, Shree Cement has raised 2,400 crore by offering shares through Qualified Institutions Placement (QIP). The company had also announced that its upcoming clinker grinding units in Cuttack District of Odisha and Pune District of Maharashtra, having capacity of 3.0 million tons per annum each, are expected to be completed by March and September this year respectively.

“The cement demand has been largely muted due to slowdown in Indian Economy. There are however, green shoots visible on the back of good monsoon and infra spending," the company said.

Shares of Shree Cement Ltd closed at 24,412.75, down 0.90% while Sensex fell by 0.49% at 41,257.74 points from the previous close.

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