ACC's Q4 net down on high input costs

MUMBAI: Steep escalation in input and transport costs pulled down cement major ACC's net profit after tax to Rs 350.17-crore in Q4 FY 11 against Rs 392.88-crore in the year-ago period.

Its profit before tax also declined to Rs 481.21-crore in the reporting quarter as against Rs 563.58-core in the year-ago period, the company said in a press release issued here.

Sales turnover, however, increased to Rs 2,556.21-crore in the January-March 2011 quarter as against Rs 2,240.33-crore in the year-ago period.

"While the company's operations benefited from better volumes, realisations remained challenged by steep escalations in input costs," the cement major said.

Manufacturing costs rose sharply as a result of increases in the cost of energy, fuel and raw materials like fly ash and slag. Coal became dearer in both the national and international markets while transport costs also shot up, it said.

On future outlook, the company said that it continued to maintain a "healthy outlook" for overall growth in demand for cement in the national economy during the year.

"With increased availability of cement from our newly-expanded plants at Wadi and Chanda, we expect the company will remain well-placed to benefit from this growth," the company said.