The company’s net income, though, was significantly lower than what analysts had expected. The result was announced during market hours.
On Wednesday, the company’s shares closed 5.2% lower on the BSE at 405.10 rupees.
Nuvoco Vistas’ consolidated revenue rose by 8% year-on-year to Rs 2,458 crore, while the volume of cement sold increased by 2% to 4.3 million tonnes. EBITDA during the quarter surged by 62% y-o-y to Rs 371 and was the highest for the September quarter.
“Despite the macro headwinds like intense monsoon, channel adjustments to GST rate cuts and early festive celebrations, the company continues to deliver improved performance, supported by a sustained focus on premiumisation and trade mix,” Jayakumar Krishnaswamy, the managing director of the company, said.
The company’s premiumisation for the quarter stood at 44%, an all-time high, and was up from 41% in the previous quarter.Nuvoco Vistas is the country’s fifth largest cement producer with an annual production capacity of 25 million tonnes. It aims to increase capacity to 35 million tonnes by FY27, helped by a 4-million-tonne organic expansion in east India and the acquisition of Vadraj Cement (in west India) which has a capacity of 6 million tonnes.The company currently has a presence only in east and north India. With the acquisition of Vadraj, it will have 17% of its capacity in west India.
Over the medium term, the company will look at a brownfield expansion at Chittorgarh and a greenfield expansion at Gulbarga.
At the end of the September quarter, Nuvoco Vistas had a debt of Rs 3,492 crore, down by Rs 1,009 crore from a year ago.
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