 |
|
UltraTech Cement, a leading player in the Indian cement industry, has reported a significant decline in its financial performance for the second quarter of fiscal year 2025 (Q2 FY25). The company's net profit dropped by 36% year-on-year, reaching Rs 825 crore compared to Rs 1,281 crore in the same period last year. This decline can be attributed to various factors, including increased input costs and a challenging market environment.
Despite the disappointing Q2 results, UltraTech Cement remains optimistic about its future prospects. Atul Daga, the company's Chief Financial Officer, expressed confidence in the approval process for the acquisition of India Cements, stating that he does not anticipate any challenges from the Competition Commission of India (CCI). This acquisition is expected to bolster UltraTech Cement's market position and further strengthen its presence in the Indian cement industry.
The company's performance in Q2 was largely influenced by the rainfall across India, which resulted in a capacity utilization rate of 68%. Looking ahead, UltraTech Cement has announced plans to commission an additional 8 million tonnes per annum (MTPA) capacity in the second half of fiscal year 2025 (H2 FY25). This expansion will further enhance the company's production capacity and enable it to meet the growing demand for cement in the Indian market.
The article also mentions Bajaj Housing Finance Ltd., which is scheduled to release its first quarterly results since its stock market debut on September 16, 2024. Provisional data indicates that the company's assets under management (AUM) surged 26% year-on-year (YoY), reaching Rs 1.02 lakh crore for Q2 FY24. Investors are eagerly awaiting UltraTech Cement's Q2 performance, following its marginal 0.3% YoY net profit rise to Rs 1,695 crore in Q1 FY25.