Birla Corporation delivers strong performance with RCCPL consolidation
Deepthi | Myequity news | Date : 30-10-2018 17:45:00 IST
Birla Corporation Limited, the flagship company of the M P Birla Group, announced today its financial results for the Quarter and Half-year ended 30 September 2018, including the results of RCCPL Private Limited (formerly Reliance Cement Company Private Limited), wholly-owned material subsidiary of the Company.
Key Financial & Performance Highlights:
•Net Sales/Income from Operations (net of taxes)
During the quarter were Rs 1,464.56 crores, compared to Rs. 1,234.03 crores in Q2 FY2017- 18, showing a growth of 19%.
For Q2 FY2018-19 stood at 30.97 lakh tons, compared to 26.84 lakh tons in Q2 FY2017-18, reflecting an increase of 15%.
For Q2 FY2018-19 stood at 30.68 lakh tons, compared to 26.52 lakh tons in Q2 FY2017-18, reflecting an increase of 16%.
•Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
For the quarter were Rs 205.87 crores, compared to Rs 188.71 crores in Q2 FY2017-18, resulting in growth of 9%.
The results of this quarter and the half year have been led by impressive volume growth and improved price realization in the Central region, primarily Uttar Pradesh, which is a core market for the group. In the East, where the market conditions were stable, the Company maintained its position. The price situation in the North continued to be soft. However, the Company was able to mitigate the impact of cost escalations and low realization by several cost reduction initiatives and market optimization measures, to deliver an overall strong performance in challenging conditions.
The synergy benefits of the RCCPL consolidation are now clearly visible. The RCCPL plants have been operating at the highest level of efficiency, their operating parameters being among the best in the industry. Capacity utilization has gone up to 80%, compared to 68% in the corresponding quarter.
The co-branding strategy at the BCL and RCCPL plants has enabled enhancing the marketing footprint as well as offering a bouquet of brands across price bands. MP Birla Cement is now a substantial player in the fast growing markets of Uttar Pradesh and Madhya Pradesh with high share of the premium segment.