Adani’s ACC clocks robust 460% net profit growth in Q2

Ahmedabad: ACC Limited, part of the diversified Adani portfolio, on Friday delivered robust performance, with Q2 profit after tax (PAT) clocking 460 per cent growth (year-on-year) at Rs 1,119 crore, with highest ever volume 10 million tonnes, up 16 per cent.

The fastest-growing building materials and solutions company registered revenue at Rs 5,932 crore for the quarter, up by 28 per cent which is highest ever in the Q2 series.

“This quarter has been instrumental for the cement sector. Despite the challenges from prolonged monsoons, the sector stands to benefit from several favourable developments including GST 2.0 reforms, the Carbon Credit Trading Scheme (CCTS), and the withdrawal of coal cess,” said Vinod Bahety, Whole-Time Director and CEO, ACC Limited. “These developments will support steady demand momentum going forward. Salai Banwa, Kalamboli expansion projects will add 3.4 million tonnes per annum (MTPA) during this year. Plant debottlenecking will unlock capacity of 5.6 MTPA, Logistics debottlenecking will help improve utilisation levels,” he mentioned.

Net worth of the company increased by Rs 1,151 crore during the quarter and stands at Rs 19,937 crore. ACC continues to remain debt-free, with highest rating of Crisil AAA (Stable)/Crisil A1+.Bahety said that as part of the larger Adani Cement family and under the parentage of Ambuja Cements, ACC is benefitting from the Group’s integrated ecosystem — spanning logistics, renewable energy, and innovation.

“Ambuja’s strategic investments in this ecosystem are also helping ACC’s expansion, cost improvement and transformation. The upcoming clinker capacities of Ambuja -- 30 MTPA, 1,000 MW of RE power will also be available for ACC under MSA, which will continue its growth momentum,” he noted.