Grasim Industries, part of Aditya Birla Group, posted a net profit of R323.0 crore for the quarter ended September 30, 2010 as against R781.0 crore in the corresponding quarter, down by 59% due to slowdown in construction activity during monsoon and fall in prices due to oversupply.
“It was a challenging quarter for the cement business marked by a fall in prices due to oversupply on the one hand and the slowdown in the construction activity during the monsoon on the othe,” the company said in the filing to Bombay Stock Exchange.
The company’s performance was also impacted by the stoppage of the company’ VSF plant at Nagada for 25 days during the quarter on the account of water shortage due to delay in monsoon.
The company’s net revenue fell by 5% to R4,503.0 crore in the September quarter 2010 against R4741.0 crore in same quarter previous year.