India Cements Limited, a major company in the cement industry, ended the third quarter of the financial year 2023 with a net profit of Rs 90.73 crore. This profit was made possible due to the sale of investments, which resulted in a profit of Rs 294.28 crore.
India Cements Limited recently made a regulatory filing, in which it reported its financial results for the quarter ending December 31, 2022. According to the filing, the company had revenue from operations of Rs 1,219.46 crore, an increase from the same quarter in the previous year, which had a revenue of Rs 1,108.46 crore. Additionally, India Cements reported a net profit of Rs 90.73 crore, a significant increase from the previous year’s quarter, which saw a net profit of only Rs 3.30 crore.
The significant increase in net profit, from Rs 3.30 crore to Rs 90.73 crore, was due to an exceptional income item of Rs 294.28 crore. This exceptional income was generated from the profit on the sale of investments made by India Cements in Springway Mining Private Ltd.
India Cements reported that during the quarter ending December 31, 2022, it completed the sale of its investment in its subsidiary, Springway Mining Private Limited (SMPL). The company stated that the sale was concluded for an agreed consideration of Rs 476.88 crore and was carried out through a Share Purchase Agreement (SPA), which was signed on October 10, 2022.