InvestorQ : How did Ultratech report such fabulous profits in the Mar-20 quarter and how is the stock looking now?
NISHA Nayak made post

How did Ultratech report such fabulous profits in the Mar-20 quarter and how is the stock looking now?

Answer
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5 months ago


UltraTech Cement announced net profits of Rs.3243 crore for the Mar-20 quarter, nearly four times the consensus street estimates. However, net sales were down nearly 12% at Rs.10,579 crore. Cement volumes were sharply down by 16% for the quarter. EBITDA margin for the quarter stood at 22.7%. Not surprisingly, the COVID-19 had its impact as construction activity across the country was halted. This is normally at its peak in March, leading to an adverse impact on Ultratech top line. The sharp spike in profits was more due to better cost control. The company declared a dividend of Rs.13 per share.