India: Madras Cements has reported increased net sales of 18% in the third quarter of its 2012-2013 financial year. The Indian cement producer made US$137m in the quarter ending 31 December 2011 which rose to US$162m in the same quarter in 2012.
'Sustained focus on containing costs' and improving efficiency were responsible for the positive results according to the CEO of Madras Cements, A.V. Dharmakrishnan. The growth in sales revenue came despite a sixteen day strike by dealers in Kerala which constitutes nearly 25% of the company's market.
Net profit for the quarter ending 31 December 2012 rose year-on-year by 9% to US$15.6m from US$14.2m. Revenue for the company's cement segment rose by 18% to US$159m from US$135m.
Also of note in the producer's results was that transportation and handling costs rose by 37% year-on-year in the quarter to US$33.3m due to higher railway freight charges and a diesel price hike.