India’s largest cement manufacturer, UltraTech Cement Ltd, on Tuesday (November 26) said it has approved the allotment of unsecured redeemable non-convertible debentures (NCDs) worth ₹1,000 crore on a private placement basis.
“…we write to inform you that the Finance Committee of the Board of Directors of the Company has today approved the allotment of Unsecured Redeemable Non-Convertible Debentures (“NCDs”) amounting to Rs. 1,000 crores on private placement basis,” UltraTech Cement said in a regulatory filing.
The NCDs, with a tenure of 10 years, will be listed on the National Stock Exchange (NSE). The debentures, with an interest rate of 7.22%, were allotted on November 26, 2024, and are set to mature on November 24, 2034. The principal amount will be redeemed at par on the maturity date.
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The Aditya Birla Group’s flagship cement company reported a net profit of ₹825 crore for the July to September 2024 quarter, missing the CNBC-TV18 poll estimate of ₹939 crore. The profit figure dropped 36% compared to ₹1,280 crore in the September 2024 quarter of the previous year.
UltraTech Cement’s revenue came in at ₹15,635 crore, which was a 2% decline compared to the corresponding quarter last fiscal year and marginally higher than the CNBC-TV18 poll of ₹15,420 crore. The cement maker’s margin also saw a sharp fall of 300 basis points YoY from 15.9% in Q2 of FY24 to 12.9% in Q2 of FY25.
The EBITDA or earnings before interest, taxes, depreciation, and amortisation for the quarter under review stood at ₹2,019 crore, lower than the projection of ₹2,180 crore. In the same quarter last year, the EBITDA was ₹2,550 crore, which means a 21% YoY fall this time.
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Shares of UltraTech Cement Ltd ended at ₹11,105, down by ₹351.85, or 3.07%, on the BSE.
(Edited by : Shoma Bhattacharjee)
