Ultratech Cements, the flagship of the Aditya Birla group, reported 36% drop in net profits at Rs.806 crore. Even the sales revenues for the quarter were down 32% to Rs.7290 crore. During the quarter, the plants operated only for 68 days resulting in overall capacity utilization of 60% across its network.

However, the fall could have been worse, had it not been for some proactive measures. Better control of cash flows enabled the company to reduce its debt by Rs.2209 crore during the quarter. Construction activity has shown good traction in rural and semi-urban pockets and that is expected be a good demand driver for cement in the coming quarters.