Cement major Grasim has recorded a net profit of Rs 654 crore for the March quarter, up 15 per cent over the previous year. The numbers are not strictly comparable because Grasim had demerged its cement business to subsidiary Samruddhi Cement in October ’09.
In volume terms, Grasim sold 10.36 million tonnes of cement during the quarter, up 9 per cent over the last year.
However, cement prices have been lower than the last year because of overcapacity in the sector, says the company. Net sales for the company stood at Rs 5,475 crore, up 11 per cent.
Grasim had passed on its cement business to subsidiary firm Samruddhi Cement, which is partly owned by Grasim shareholders, who will get 1 share of Samruddhi Cement for each share of Grasim that they hold on 28 May.