By IANS,
Mumbai : Cement major ACC Ltd Tuesday reported a 10.86 percent decline in its net profit for the quarter ended March 31, which stood at Rs.350.17 crore as against Rs.392.9 crore for the corresponding period of last year, mainly due to increased input and transportation costs.
“While the company’s operations benefited from better volumes, realisations remained challenged by steep escalations in input costs,” the company said in a regulatory filing.
“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 both in domestic and international markets. Transport costs also suffered,” it added.
However, the company said that the quarter’s results were not comparable with the corresponding period of 2010 as it had infused substantial funds for acquisitions.
In 2010, the company acquired 100 percent stake in Encore Cement and Additives, 45 percent Asian Concretes and Cements, while its wholly owned subsidiary ACC Concrete acquired 40 percent stake in Aakaash Manufacturing.
The company’s total income for the quarter under review stood at Rs.2,556.21 crore, as against Rs.2,240.33 crore in the like period of the previous fiscal.
At the Bombay Stock Exchange, the shares of the company ended up 1.09 percent at Rs.1,122.95.