Orient Cement profit up multifold to Rs 49 cr in Q2

New Delhi, Nov 1 (PTI) Orient Cement Ltd, now part of Billionaire Gautam Adani-led Adani Group, on Saturday reported a multi-fold jump in net profit to Rs 49.08 crore in the September quarter, helped by gains from tax reversals and increase in volume.

The company reported a net profit of Rs 2.32 crore for the July-September quarter a year ago, according to a regulator filing from Orient Cement Ltd (OCL), now a subsidiary of Ambuja Cements.

Its revenue from operations was up 18.25 per cent to Rs 643.32 crore in the September quarter of FY26. It was at Rs 544.02 crore in the corresponding period a year ago.

OCL's total expenses were up 6.8 per cent to Rs 581.48 crore in the September quarter.

Its cement sales value rose 29 per cent to 1.4 MT during the quarter, while the capacity utilisation was at 65 per cent.

Its total income, which includes other income, was up 19.6 per cent at Rs 655.16 crore.

"During the quarter ended June 30, 2025, the company opted for the reduced tax rate regime under Section 115BAA due to which the net deferred tax liability as on April 1, 2025, which was previously recognised at the erstwhile higher tax rate, has been remeasured at the reduced rate, resulting in a reversal of Rs 81.18 crore during the quarter ended June 30, 2025.

"Further, pursuant to the adoption of the reduced tax regime under Section 115BAA, the company has also reversed excess income tax provision of Rs 16.75 crore created for financial year 2024-25," it said.

Now, Adani Group controls 72.66 per cent in OCL after the open offer in the company, and the company has become a subsidiary of Ambuja Cements from June 18, 2025.

According to OCL, "97 per cent of the Q2 sales are under Ambuja/ACC brands, while exit of the quarter it is 100 per cent (only few days of the beginning of the quarter 3 per cent sales happened under the Orient brand. This is one of the fastest integration and brand transition we have achieved," it said.

It is optimistic to achieve 75-80 per cent capacity utilisation for the remaining part of the year. PTI KRH TRB