Birla Corporation Limited, the flagship company of MP Birla Group, reporeted a decline in net profit of 48.5 per cent at Rs 86 crore in the second quarter of the current fiscal as compared to Rs 167 crore in the previous corresponding period.
Revenue of the cement manufacturer increased marginally by two per cent at Rs 1,711 crore in the quarter, as against Rs 1,675 crore in the previous similar period.
The company said demand for cement was impacted by extended and heavy monsoon and shortage of sand in Uttar Pradesh and Bihar, the two major markets of the firm.
Birla Corporation was also faced with a sharp increase in fuel, raw material and packaging costs owing to the rise in commodity prices, it said.
The extended shutdown of the company's new Chanderia cement works in Chittorgarh also impacted operations of the company.
EBITDA (earnings before interest, taxes, depreciation, and amortization) of the company also went down 30.4 per cent at Rs 281 crore in the current second quarter as compared to Rs 404 crore in the corresponding previous period.
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