Scripscan:Madras Cements Ltd
cmp:110
Code:500260
Story:Madras Cements' net profit during the second quarter of the current year has more than tripled to Rs 110.88 crore on net sales of Rs 818.99 crore as compared with that of the corresponding quarter last year. But this three times rise could be attributed to the low base. On QoQ, the rise in net profit is more muted at 13%. Cement sales during Q2FY12 was 19 lakh tonnes against 20 lakh tonnes in Q2FY11. Annual production capacity has grown to 14 million tonnes with the addition of 2 million tonnes with a second line in the Ariyalur unit during the quarter. What really helped was the rise in net average realizations (blended) by about 49% on a YoY though it was down QoQ.Sales from the windpower segment dipped 25.3% during the quarter on a YoY. Sale of 23 megawatts worth of wind mills last year and the power cuts in Tamil Nadu led to this drop. It remains one of the lowest cost cement manufacturers in India - power consumption is 83 units per tonne of cement and fuel is 14% of the clinker used. The company is taking steps to secure the power situation with captive thermal generation.At the Ariyalur plant the company has commissioned 40 MW of power generation, and an additional 20 MW will go on stream in January-February 2012. A 25 MW facility is in the pipeline in RR Nagar. Q3 could show some stress as demand is low in South due to monsoon. But it could end FY12 on a much better note.
cmp:110
Code:500260
Story:Madras Cements' net profit during the second quarter of the current year has more than tripled to Rs 110.88 crore on net sales of Rs 818.99 crore as compared with that of the corresponding quarter last year. But this three times rise could be attributed to the low base. On QoQ, the rise in net profit is more muted at 13%. Cement sales during Q2FY12 was 19 lakh tonnes against 20 lakh tonnes in Q2FY11. Annual production capacity has grown to 14 million tonnes with the addition of 2 million tonnes with a second line in the Ariyalur unit during the quarter. What really helped was the rise in net average realizations (blended) by about 49% on a YoY though it was down QoQ.Sales from the windpower segment dipped 25.3% during the quarter on a YoY. Sale of 23 megawatts worth of wind mills last year and the power cuts in Tamil Nadu led to this drop. It remains one of the lowest cost cement manufacturers in India - power consumption is 83 units per tonne of cement and fuel is 14% of the clinker used. The company is taking steps to secure the power situation with captive thermal generation.At the Ariyalur plant the company has commissioned 40 MW of power generation, and an additional 20 MW will go on stream in January-February 2012. A 25 MW facility is in the pipeline in RR Nagar. Q3 could show some stress as demand is low in South due to monsoon. But it could end FY12 on a much better note.
