BUSINESS

ACC posts lower profit

MUMBAI OCT. 31. The Associated Cement Companies has announced a net profit of Rs. 24.96 crores for the half-year ended September 30, 2002 against Rs. 60.98 crores in the corresponding period of the previous year. Net sales were higher at Rs.. 1,673.72 crores against Rs. 1,543.30 crores.

The profit before interest, depreciation and tax stood at Rs. 171.91 crores (Rs. 275.96 crores). The company provided Rs. 55.84 crores (Rs. 70.40 crores) for interest, Rs. 81.39 crores (Rs. 70.47 crores) for depreciation, Rs. 2.75 crores (Rs. 8.8 crores) for current tax and Rs. 7 crores (Rs. 38.31 crores) for deferred tax.

For the period under reference, cement sales (excluding trading and including traded cement) were 70.18 lakh tonnes (56.01 lakh tonnes).

According to the company, gross cement price realisation during the second quarter declined by over 13 per cent as compared to the corresponding period last year.

The impact of the drop in cement prices was offset to an extent by increase in sales volume coupled with the ongoing improvement in operating efficiencies and other cost reduction measures.

While cement prices have been lower in the first half, they are expected to improve in the second half, the company said.

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