Sagar Cements posts ₹54 cr loss in Q3FY25
Sagar Cements posted a consolidated loss of ₹54.45 crore in the third quarter ended December 2024. In the corresponding quarter of the previous financial year, it incurred a loss of ₹10.50 crore.
Total revenue declined by 16 per cent to ₹568 crore as against ₹673 crore in the same period last year.
“The Q3 performance benefitted in part from the pick-up in demand during the second half of the quarter and steady realisations. While the quarter began on a soft note owing to festive season and labour unavailability, construction activities picked up pace during the second half. Demand from the rural segment also revived steadily aided by better agricultural output,’‘ Sreekanth Reddy, Joint Managing Director, Sagar Cements said on Friday.
The EBITDA for the quarter stood at ₹38 crore, with margins of 7 per cent. “While input prices remained largely steady compared to previous quarter, we expect the benefit of softening raw material prices to reflect in our financials from next quarter,’‘ Reddy added.
Sagar’s initiatives to enhance the energy mix by increasing the proportion of green power, improving operational efficiencies, and achieving higher utilisation rates across our facilities will contribute to profitability and margin growth in the years ahead, he said.
For the full year FY25, Sargar is expecting to achieve sales volumes similar to FY24 of 5.50 MnT. During January 2025, the company successfully commissioned a 6 MW Solar Power plant at its Gudipadu Unit. Further, the company has received approvals for implementation of a 6 MW solar power plant at its Dachepalli unit.
“We believe that our initiatives to lower freight costs—through shortening lead distances, decreasing the clinker factor, upgrading our assets, and optimising our energy mix will effectively generate long-term value for our shareholders,’‘ Reddy said,
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