Aditya Birla Group firm Grasim Industries on Friday reported 12.7 per cent rise in consolidated net profit at Rs 2,758.75 crore for June quarter 2022-23, led by growth across its key businesses.
The company had posted a net profit of Rs 2,447.97 crore in the year-ago period, Grasim Industries said in a regulatory filing.
Revenue from operations was up 40.77 per cent at Rs 28,041.54 crore during the quarter as against Rs 19,919.40 crore in the same period a year ago.
Total expenses were at Rs 24,393.95 crore as against Rs 16,853.28 crore a year ago.
Financial results for the quarter recorded “all-round growth across key businesses” with “highest ever EBITDA at consolidated and standalone level”, said an earning statement from Grasim Industries.
On a standalone basis, Grasim’s revenue from operations was at Rs 7,253.04 crore and a net profit of Rs 808.56 crore in Q1FY23.
On a consolidated basis, revenue from viscose-pulp, viscose staple fibre and filament yarn segment was up two folds at Rs 4,299.88 crore as against Rs 2,102.76 crore in Q1FY22.
“The India-centric demand for textiles remained strong during the quarter. The VSF business reported a sales volume of 197KT in Q1FY23, up 10 per cent QoQ and 76 per cent YoY, with domestic sales accounting for 94 per cent of the total sales volume,” said Grasim.
Revenue from its subsidiary UltraTech Cement was up at Rs 15,163.93 crore in April-June as against Rs 11,829.82 crore a year ago.
Revenue from the chemicals segment was up 90.27 per cent at Rs 2,733.31 crore as against Rs 1,436.48 crore in Q1FY22.
“The domestic caustic soda prices continued trending upwards, driven by higher global caustic soda prices, weak INR, and a stable demand environment,” it said.
The global caustic soda prices averaged higher at USD 769/million tonne in Q1FY23 against USD 719/MT in Q4FY22, driven by factors like supply chain disruption and higher energy prices, the statement said.
Revenue from the financial services segment Aditya Birla Capital Ltd (ABCL) was up 30.15 per cent to Rs 5,579.85 crore as against Rs 4,287.09 crore a year ago.
“ABCL remains focused on maximising the value of the active customer base of 39 million whilst continuing to drive customer acquisition at scale,” it said.
Revenue from other segments was at Rs 810.80 crore.
Sharing development about the paint business, in which Grasim is entering, the company said :”The business has obtained land possession at all its six sites. The civil construction has commenced at four of its sites- Panipat, Ludhiana, Cheyyar and Chamarajanagar. The project work at other sites will start soon after all the statutory approvals are received.” In May this year, it had doubled the capex for its foray into the paints business to Rs 10,000 crore.
Over the total capex, Grasim said the total budget to be spent during FY23 stands at Rs 6,720 crore, including Rs 3,542 crore for the paints business.
Shares of Grasim Industries settled at Rs 1,622.70 apiece, up 1.43 pert cent on BSE. PTI KRH KRH ANU ANU
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