Grasim fourth quarter results: Net profit rose 39% year-on-year to Rs 1,908 crore. 13% increase in revenue
Revenue from operations during the reporting period increased 13% year-on-year to Rs 37,727 billion, compared to Rs 4,873 billion in the corresponding period of the previous year.
Earnings before interest, taxes, depreciation and amortization (EBITDA) for the March quarter stood at Rs 6,196 crore, up 27% year-on-year.
CSF prices in China improved slightly during the quarter, reflecting an improving demand scenario and stable utilization rates (85%).
However, export prices fell due to global production overcapacity and falling raw material prices. During the quarter, demand in India was impacted by MSME policy revisions, which resulted in reduced inventory build-up in the textile value chain. CFY’s business remains affected by increased cheap imports from China in an already weak demand market. Grasim CSF volume increased 8% year-on-year to 208KT. However, due to poor performance, quarterly revenue stagnated at Rs 3,762 crore. Segment EBITDA grew 15% to Rs 462 crore, mainly driven by lower input costs. The Chemicals division achieved its highest ever caustic soda sales volume of 308KT in the fourth quarter of fiscal 2024, an 8% increase compared to the same period last year. However, revenue fell 13% year-on-year to Rs 2,083 crore due to a sharp 28% decline in ECU realizations. The building materials division recorded revenue of Rs 20,919 crore, up 11% year-on-year. – Led by growth in cement and B2B e-commerce businesses. EBITDA rose 24% year-on-year to Rs 4,150 crore despite initial losses in paints and B2B e-commerce businesses.
Shares of Grasim Industries on Wednesday closed 0.6 per cent lower at Rs 2,432.30 on the NSE.
