The India Cements Ltd.’s (ICL) standalone internet revenue for the quarter ended December soared to ₹90.73 crore, aided by a revenue of ₹294 crore from the sale of its investments in Madhya Pradesh for organising a brand new plant.
The cement main had reported a internet revenue of ₹3 crore within the year-earlier interval.
Revenue from operations rose to ₹1,219 crore from ₹1,108 crore. The total quantity of clinker and cement stood at 21.82 lakh tones (21.08 lakh tonnes).
Briefing reporters, vice-chairman and managing director N. Srinivasan stated that the third-quarter efficiency was severely impacted by the unprecedented rise in gasoline and energy prices, which couldn’t be compensated out there place as a result of large provide overhang.
Besides, the corporate additionally misplaced some volumes as a result of monsoon and excessive landed value of merchandise within the commercially unviable markets of east and north east.
“While the all India players had a reasonable increase in the selling prices elsewhere in the regions to partially offset the cost increase, the industry in the south had to bear the impact of cost push without much increase in the selling price of cement,” he stated.
Asserting that ICL had a basket of classic vegetation and expertise with various working parameters that pushed the price of manufacturing towards its friends, he stated that the corporate had determined to refurbish all its cement vegetation besides these in Sankari and Banswara.
“We have engaged two international experts – Krupp Polysius and FL Smidth – to submit a report as how to make these plants as efficient to be on par with the competition. They are expected to submit the report soon,” he stated.
Asked about the price of refurbishments, he stated it will be about ₹1,500-1,600 crore. “The money for it will be raised internally by monetising the land. ICL has about 26,000 acres. It has no plans to raise debt for the scheme,” he added.
“It would take 15-18 months for completion. Once the capacity utilisation goes up substantially, my cost will come down. So far, we were not overtly concerned about volume. In the near term, we are not expecting drop in prices, but are taking steps to reduce cost,” he stated.
According to him, ICL has a internet debt of ₹2,900 crore towards ₹3,603 crore in March 2022.
Regarding the AP Gas Power Corporation Ltd., which has turn into standstill, he stated that availability of fuel and its worth was a “big question.” ICL was procuring energy from the grid and it was less expensive than the fuel worth, he stated.
Source: www.thehindu.com