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Orient Cement posts Q2 net loss of Rs 29.4 crore

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Orient Cement has reported a standalonenet loss of Rs 29.4 crore for the quarter ended September 30, 2016, against anet profit of Rs 28 crore in the year-ago period. Total standalone income ofthe company rose by 11 per cent to Rs 445 crore in April-September quarter thisfiscal from Rs 400 crore during the same quarter in 2015-16. Total expenses ofthe CK Birla Group were higher at Rs 460 crore against Rs 374 crore during theperiod under review.

Orient Cement Managing Director and CEODeepak Khetrapal said that volumes continue to be higher across all marketsversus the corresponding quarter last year due to utilisation of the firm’s newcapacity at Chittapur. "The increased volumes to Karnataka and Andhra Pradeshenabled by the new plant have improved our geographic spread. The quarter endedSeptember 30 has expectedly seen seasonal lower volumes due to an intense andextended monsoon affecting construction activities," he added.

The price environment in core marketshas been stable to better, particularly showing signs of improvement in AndhraPradesh, Telangana and West Maharashtra towards the end of this quarter,Khetrapal said. The cement industry expects demand to improve in theOctober-December quarter due to favourable rainfall, which is expected toprovide a strong boost to demand, he added. Various government projects for low-costhousing, roads, irrigation, Metros as well as new initiatives like Smart Citiesand Swachh Bharat are also expected to resume in full swing and result inimproved demand for cement in Telangana, AP and Maharashtra.

Concrete

CCU testbeds in Tamil Nadu

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Tamil Nadu is set to host one of India’s five national carbon capture and utilisation (CCU) testbeds, aimed at reducing CO2 emissions in the cement industry as part of the country’s 2070 net-zero goal, as per a news report. The facility will be based at UltraTech Cement’s Reddipalayam plant in Ariyalur, supported by IIT Madras and BITS Pilani. Backed by the Department of Science and Technology (DST), the project will pilot an oxygen-enriched kiln capable of capturing up to two tonnes of CO2 per day for conversion into concrete products. Additional testbeds are planned in Rajasthan, Odisha, and Andhra Pradesh, involving companies like JK Cement and Dalmia Cement. Union Minister Jitendra Singh confirmed that funding approvals are underway, with full implementation expected in 2025.

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Concrete

JSW Cement gears up for IPO

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JSW Cement has set the price range for its upcoming initial public offering(IPO) at US$1.58 to US$1.67 per share, aiming to raise approximately US$409 million. As reported in the news, around US$91 million from the proceeds will be directed towards partially financing a new integrated cement plant in Nagaur, Rajasthan. Additionally, the company plans to utilise US$59.2 million to repay or prepay existing debts. The remaining capital will be allocated for general corporate purposes.

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Concrete

Cement industry to gain from new infrastructure spending

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As per a news report, Karan Adani, ACC Chair, has said that he expects the cement industry to benefit from the an anticipated US$2.2tn in new public infrastructure spending between 2025 and 2030. In a statement he said that ACC has crossed the 100Mt/yr cement capacity milestone in April 2025, propelling the company to get closer to its ambitious 140Mt/yr target by the 2028 financial year. The company’s capacity corresponds to 15 per cent of an all-India installed capacity of 686Mt/yr.

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