The flagship holding firm of the Aditya Birla Group, Grasim Industries registered a 15.54 per cent rise in consolidated net profit during Q4, FY24. Driven by a strong performance in its cement and financial services sector, the company’s profit increased to  Rs 2,721.81 crore during the quarter from Rs 2,355.67 crore profit recorded in the same quarter of the previous year. 

The company’s revenue from operations increased by 12.74 per cent to Rs 37,727.13 crore during the reviewed quarter from Rs 33,462.14 crore in the corresponding period of the previous fiscal year. The company highlighted that this was its highest consolidated revenue to date.

Despite facing an exceptional items charge of Rs 538 crore in the March quarter, the company’s consolidated earnings before interest, taxes, depreciation, and amortisation (EBITDA) grew by 27 per cent Y-o-Y to Rs 6,196 crore.

Total expenses surged by 11.18 per cent to Rs 33,750.46 crore while total income, including revenue from other sources, rose by 13.27 per cent to Rs 38,154.36 crore.

However, the company’s revenues from the Cellulosic Fibers segment declined to Rs 3,761.75 crore in the March quarter from Rs 3,764.06 crore in Q4 FY23. The company attributed this dip to the amendment in the MSME policy, which led to low inventory build-up in the textile value chain, and increased cheaper imports from China impacting the Cellulosic Fashion Yarn (CFY) business.

The revenues of the Chemicals business declined by 13.11 per cent to Rs 2,082.98 crore from Rs 2,397.47 crore a year ago, due to an over-supply situation affecting caustic soda prices in domestic markets. Nevertheless, the Chemicals business achieved its highest-ever caustic soda sales volume of 308 KT in Q4 FY24, up 8 per cent Y-o-Y.

In contrast, revenues of the Building Materials business increased by 11.25 per cent to Rs 20,918.55 crore, compared to Rs 18,803.03 crore in the same quarter last year. This segment includes UltraTech Cement, the newly launched Paints business, and the B2B e-commerce business Birla Pivot. The growth was driven by increased sales volumes in UltraTech and expansion in the B2B E-commerce business.

Revenue from the financial services segment, Aditya Birla Capital (ABCL), surged by 29.51 percent to Rs 10,483.77 crore from Rs 8,094.51 crore a year earlier. Revenues of other segments, including Textiles, Insulators, and Renewable Power, increased by 5.95 per cent to Rs 789.85 crore.

For the financial year ending March 31, 2024, Grasim Industries reported a 10.4 pre cent decline in net profit, totaling Rs 9,925.65 crore, compared to Rs 11,078.20 crore in FY 2022-23. However, revenue from operations for FY24 increased by 11.35 per cent to Rs 1,30,978.48 crore, up from Rs 1,17,627.08 crore the previous year. The company attributed this growth to strong performance across its diversified business portfolio, particularly in the Building Materials and Financial Services sectors.