Binani Industries Press and Media
Press Releases

Binani Cement Registers 54% Growth In Net Sales

Highlights Q3 FY09:

Mumbai, January 30, 2009 : Binani Cement Limited, a Rs 1500 crores cement major & the flagship subsidiary of Rs. 2500 crores Braj Binani Group announced its results for the third quarter ended 31 December 2008

9Months FY 2009 Vs. 9Months FY 2008 :

Note on Quarterly Result:

Commenting on the Company’s performance and growth strategies, Mr. Vinod Juneja, Managing Director, Binani Cement Limited said, “Profitability has been affected mainly due to substantial increase in the cost of imported coal, which could not be passed on to the customers. The adverse impact of increase in cost for clinker productions is Rs. 60 Crores (approx.) in Q3FY09 and Rs. 125 Crores (approx.) in 9 months FY09.

With sharp decline in the coal prices in last quarter and for the period January to March 2009, this will see a considerable saving in input cost. With global coal price softening coupled with the benefit of lower coal price in recently concluded deliveries which cover the companies requirement up to mid April 2009.

On account of weakening rupee there was a Forex fluctuation loss on coal import liabilities. However, as per the company’s policy, 50% of the foreign exchange exposure is hedged to avoid speculating gains or losses. The company has also executed a long term contract for supply of coal from Indonesia for its coal requirements for its Captive Power Plants,” Said Mr. Juneja.