Rise in costs reduces NP of Sagar Cements
Owing to rise in power and fuel costs, the net profit of Sagar Cements contracted 77 per cent to Rs 4.1 crore during Apr-June 2012 compared to Rs 18.1 crore in the year-ago period.
According to the company, revenue or net sales remained almost flat at about Rs 150 crore. The operating environment for cement companies thus far has been challenging.
During the quarter, the plant operated at reasonable utilisation levels, producing about 3.30 lakh tonne of clinker and 4.05 lakh tonne of cement. The clinker utilisation level was 60 per cent. The volumes of cement production were lower by about 1.5 per cent compared to last year.