Aditya Birla Group company UltraTech Cement on Tuesday reported a net profit of Rs 797.43 crore in the quarter ended June 30, and said it had "emerged stronger and well prepared" in the wake of the coronavirus pandemic. That marked a decline of 37.75 per cent compared to its net profit in the corresponding period a year ago. In a regulator filing, UltraTech Cement reported a 31.52 per cent drop in total revenue from operations to Rs 7,912.58 crore. Shares, however, spiked more than 9 per cent amid large volumes after the earnings announcement.
UltraTech Cement said its focus on operational efficiencies and cost control has made it better prepared for any future slowdown resulting from the coronavirus pandemic.
The Mumbai-based cement maker said it is closely monitoring the impact of COVID-19 on its operations. The company said the pandemic-related lockdown has been a huge challenge for all its manufacturing units; however, it managed the crisis with a sharp focus on operational efficiencies.
In the available 68 operating days during the quarter, UltraTech Cement said it kept a tight control on costs and cash flow, and achieved an effective capacity utilisation of 60 per cent across its plants.
UltraTech Cement said its capital and financial resources remain entirely protected and its liquidity position is adequately covered.
On the BSE, UltraTech Cement shares jumped as much as 9.08 per cent to Rs 4,209.50 during the session.
At 3:02 pm, UltraTech Cement shares traded 7.23 per cent higher at Rs 4,137.95 apiece on the BSE, outperforming the benchmark S&P BSE Sensex index which was up 1.44 per cent propelled by gains in financial, automobile and IT stocks.
By then, a total of 72,000 UltraTech shares had changed hands on the BSE, against an average of 20,000 in the past two weeks.