HM Bangur, Managing Director, Shree Cement, said the volume growth in Dec quarter was higher by 23% from the year ago period and the per tonne realization was lower by 1 percent. The total cement revenue growth increased 22% to Rs 1645 crore from Rs 1350 crore reported for the same quarter last year
For the power division, the volume growth was around 10 percent in spite of lower power prices as they were offset by lower cost of fuel. Cement capacity utilization for the quarter came down from 88 to 77 percent because of addition of new units.
Cements capacity utilization had come down because of addition of new unit. The volumes are higher by 23 percent and as we have created new capacity our capacity utilization have come down from 88 percent to roughly 77 percent. The new plants are functioning in this quarter it is continuously increasing but we are running at around 55 percent or so.
Cement volume will be little better or it will be in the similar range. Compared to last year it should be higher by around 25 percent or so, plus or minus 2-3 percent. For margin outlook you have to understand the most important thing is the sale price and I don't want to take any call on the sale price. Our costing will be similar, our volumes will be higher by 20-25 percent compared to last year and there more comments will not be made.
We are now in two markets, north and east. The cement prices are not very healthy. It is definitely lower compared to last year.