"While rural and semi-urban housing continues to drive growth, pick-up in government-led infrastructure aided incremental cement demand. Pent-up urban demand is expected to improve with the gradual return of the migrant workforce," UltraTech Cement
said in its release.
While fuel prices have increased in recent months, operational efficiencies and tight control over costs are reflected in the company’s 26 per cent operating margin, it said.
Meanwhile, the company’s profit before interest, depreciation and tax (PBIDT) was at Rs 3,362 crore in the quarter gone by as against Rs 2,147 crore in the corresponding period of the previous year.
“UltraTech Cement’s strong pan-India distribution network and preferred supplier status for key infrastructure projects place it well to tap into expected growth in both retail and institutional (non-trade) cement demand in India. While it is ramping up its under-utilized acquired capacities, it also has a strong pipeline of expansion projects that offers strong growth visibility,” Motilal Oswal Financial Services said in a result update.
At 09:17 am, the stock was trading 3 per cent higher at Rs 5,702 on the BSE, as against a 0.64 per cent gain in the S&P BSE Sensex.
A combined around 250,000 equity shares had hands on the NSE and BSE, so far.
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