Ultratech Cement Q4 FY22 Results

UltraTech Cement announced its Q4 numbers on April 22, 2022.?

The company’s consolidated profit after tax for the quarter ended March 2022 stood at Rs 2,620 crore, up 47.6% year on year (y-o-y).?

Net sales recorded an increase of 9.31% from Rs 14,232 crores in the year-ago period to Rs 15,557 crores in the quarter ended March 2022. Amidst rising input cost concerns, Ultratech’s volume was down marginally, 0.3% y-o-y.?

However, considering the improving demand conditions and increased infrastructure spends from the Government, on a sequential basis, the volume jumped 20% quarter on quarter (Q-o-Q). While EBITDA was down 15% y-o-y, sequentially it is up 27% (Q-o-Q).?

The revenue was up 22% on a sequential basis.

The company saw an increase in energy cost by 48% y-o-y with prices of petcoke and coal doubling during the March quarter. Similarly, raw materials costs too increased. These include costs of fly ash, bauxite, gypsum and HSD.?

Further, the company achieved 90% effective capacity utilsation which is key in meeting the demand.?

The profit during the quarter was up 47% y-o-y to Rs 2,613 crore and sequentially it is down about 4%. But adjusted PAT is down 18% y-o-y to Rs 1,478 crore.?

More on UltraTech Cement Q4

For the full-year financial year 2022, consolidated net sales stood at Rs 51,708 crores marking an increase of 17% as compared to the previous year. For the year, profit after tax rose 34.43% year on year to Rs 7,344 crores.

The board of directors of the company has announced a dividend of Rs 38 per equity share.?

Ultratech Cement Q4 2022 Results – Highlights?

• Revenue is up 9.3% y-o-y to Rs 15,557 crore?
• Net debt for the year (FY22) is down to Rs 3,751 crore from Rs 6,353 core same period last year. As such the Net debt by EBITDA is at 0.32 times.?
• Net profit is up 47% y-o-y to Rs 2,613?

?Misses of Ultratech Cement Results

• EBITDA is down 15.6% y-o-y
• Raw material costs increased 7% y-o-y
• Energy cost too increased 48% y-o-y

Management comments

As per the company’s statement, UltraTech’s capital and financial resources remain fully protected and its liquidity position is adequately covered. So any rise in input costs could be handled well by the company. Further, rural and urban demand is also expected to pick up going forward which augurs well for the company.?

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Research Analyst: Bavadharini KS