Birla Corporation Limited has recorded its highest ever EBIDTA and cash profit in financial year 2019-20, at Rs 1,421 crore and Rs 1,033 crore, respectively. The Company registered a growth of 38% in EBIDTA and 57% in cash profit over the previous year. Its net profit for 2019-20 at Rs 505 crore was 98% higher than the previous year.
For the March quarter, the Company registered a net profit of Rs 195 crore, up 51.9% over the previous year, despite dispatches grounding to a halt in later part of March. The Company’s total income for the quarter at Rs 1,718 crore was down 9.4% year-on-year as dispatches were suspended towards the end of the financial year due to the Covid-19 pandemic. EBIDTA per ton for the March quarter grew 31% year-on-year to Rs 1045.
The Company reported higher profits during the March quarter with EBITDA for the quarter being higher by 11.7% over the previous year at Rs 373 crore, despite loss of volumes since 22 March due to the situation arising out of Covid-19.
During the March quarter, the Company reaped the benefits of lower fuel costs and its sustained investments into improving efficiency and cost rationalisation. The Company’s subsidiary, RCCPL Pvt. Limited (formerly Reliance Cement Company Limited), has migrated to the new tax regime announced in October last year, and gains on account of the change have contributed significantly to the growth in consolidated net profit.
The Company’s board on Friday, 22 May, decided to pay a dividend of Rs 7.50 per share, the same as last year. In view of the adverse business environment prevalent in the country, the Board decided to give a token amount of Re 1 as commission to the non-executive directors.
Despite lower sales, realisation for the March quarter was up 3.9% year-on-year at Rs 4,795 per ton. Realisation for the full year at Rs 4,811 per ton was up 5.7% while revenue for fiscal 2019-20 at Rs 7,001 crore was up 5.6% over the previous year.