Ramco Cements Ups Grinding Capacity in 2 Plants

23 Sep 2024 , 12:45 PM

Ramco Cements Ltd announced an increase in cement grinding capacity due to de-bottlenecking at two plants.

• The Kalavatala Plant in Nandyal, Andhra Pradesh, increased capacity from 1.5 million tonnes per annum (MTPA) to 2 MTPA.
• The Valapady Grinding Unit in Salem, Tamil Nadu, also raised its capacity from 1.6 MTPA to 2 MTPA.

Overall, Ramco Cements’ total cement grinding capacity has grown by 0.9 MTPA, from 23.14 MTPA to 24.04 MTPA.

The total investment for these capacity expansions amounted to ₹58 Crore. The company received operational consent from relevant authorities for the enhancements.

For the first quarter ending June 30, 2024, Ramco Cements reported a 55% year-on-year decline in net profit, totaling ₹35.5 Crore, down from ₹79 Crore in the same quarter last year.

Revenue from operations decreased by 6.8% year-on-year, totaling ₹2,088.4 Crore, compared to ₹2,241 Crore in the corresponding quarter of the previous fiscal year. EBITDA fell by 6.4% to ₹319.5 Crore, with an EBITDA margin of 15.3%, slightly up from 15.23% in the previous year.

Reported figures for profit and revenue fell short of market expectations, which predicted profits of around ₹40 Crore and revenues of ₹2,175 Crore for the quarter.