The company reported a consolidated net profit of ₹112 crore for the June quarter, turning from a loss of ₹5.56 crore in the year-ago period. Profitability of the company was boosted by a one-time exceptional gain of ₹33 crore, compared with no exceptional item in the corresponding quarter last year.
Revenue from operations increased 2.6% year-on-year to ₹1,835.2 crore from ₹1,789.3 crore.
Operating performance also improved with the Earnings before interest, tax, depreciation and amortisation (EBITDA) rising 26.6% year-on-year to ₹220.5 crore from ₹174.1 crore, while EBITDA margin expanded to 12% from 9.73% a year earlier.
Prism Johnson described the June quarter as one of its strongest quarterly performances, with profitability supported by robust execution in its H&R Johnson tiles business and Prism RMC, while the cement business remained resilient despite a softer market.
Management said disciplined cost management, operational efficiencies and calibrated pricing actions helped offset headwinds such as elevated fuel costs, raw material inflation following the Middle East crisis and a competitive pricing environment in the cement industry.
Prism Johnson also said that it completed divestment of its 51% stake in Raheja QBE General Insurance would sharpen its focus on its core building materials businesses and accelerate deleveraging. The ₹325.87-crore transaction was completed on July 1, with its financial impact expected to be reflected in the September quarter.
The company added that it is continuing to strengthen its balance sheet through debt reduction and non-core asset monetisation. As of August 6, its standalone gross debt had reduced to ₹493 crore from ₹1,048 crore as of June 30.
Shares of Prism Johnson have cooled from the highs, now trading just 4% higher at ₹117.8. The stock is down 15% so far for the year.
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