On consolidated basis
Quarter ended March 2023 compared
with Quarter ended March 2022.
Net sales (including other operating income) of Shree Cement has increased
16.86% to Rs 5100.19 crore.
Operating profit margin has declined
from 21.05% to 17.43%, leading to 3.22% decline in operating profit to Rs
889.20 crore. Raw material cost as a % of total sales (net of stock
adjustments) increased from 7.14% to 8.56%. Purchase of finished
goods cost rose from 0.30% to 0.40%. Employee cost decreased from
5.12% to 4.95%. Other expenses rose from 66.19% to 68.37%.
Power and Oil fuel cost rose from 29.29% to 34.32%.
Freight charges fell from 22.16% to 20.93%.
Other income rose 6.09% to Rs 145.72
crore. PBIDT fell 2.01% to Rs 1034.92 crore. Provision
for interest rose 36.61% to Rs 71.27 crore. Loan funds rose to Rs
2,724.67 crore as of 31 March 2023 from Rs 2,129.22 crore as of 31 March
2022. Inventories rose to Rs 2,759.68 crore as of 31 March 2023 from
Rs 2,497.02 crore as of 31 March 2022. Sundry debtors were higher at
Rs 1,211.57 crore as of 31 March 2023 compared to Rs 788.29 crore as of 31
March 2022. Cash and bank balance declined from Rs 289.65 crore as
of 31 March 2022 to Rs 160.93 crore as of 31 March 2023. Investments
declined from Rs 9,032.64 crore as of 31 March 2022 to Rs 8,683.14 crore as of
31 March 2023.
PBDT fell 4.02% to Rs 963.65
crore. Provision for depreciation rose 59.34% to Rs 472.82
crore. Fixed assets increased to Rs 10,202.81 crore as of 31 March
2023 from Rs 8,278.51 crore as of 31 March 2022. Intangible assets
increased from Rs 57.25 crore to Rs 74.67 crore.
Profit before tax down 30.60% to Rs
490.83 crore. Share of profit/loss were nil in both the
periods. Provision for tax was credit of Rs 34.38 crore, compared to
debit of Rs 48.19 crore. Effective tax rate was negative 7.00%
compared to 6.81%.
Net profit attributable to owners of
the company decreased 20% to Rs 525.77 crore.
Equity capital stood at Rs 36.08
crore as of 31 March 2023 to Rs 36.08 crore as of 31 March 2022. Per
share face Value remained same at Rs 10.00.
Promoters’ stake was 62.55% as of 31
March 2023 ,compared to 62.55% as of 31 March 2022 .
Full year results analysis.
Net sales (including other operating income) of Shree Cement has increased
18.94% to Rs 17852.33 crore.
Operating profit margin has declined
from 24.70% to 16.58%, leading to 20.18% decline in operating profit to Rs
2,959.50 crore. Raw material cost as a % of total sales (net of
stock adjustments) increased from 7.44% to 7.91%. Purchase of
finished goods cost fell from 0.58% to 0.50%. Employee cost
decreased from 6.01% to 5.45%. Other expenses rose from 61.56% to
69.63%. Power and Oil fuel cost rose from 23.83% to 33.92%.
Freight charges fell from 21.72% to 21.10%.
Other income fell 15.90% to Rs
459.08 crore. PBIDT fell 19.64% to Rs 3418.58
crore. Provision for interest rose 21.63% to Rs 262.87
crore. Loan funds rose to Rs 2,724.67 crore as of 31 March 2023 from
Rs 2,129.22 crore as of 31 March 2022. Inventories rose to Rs
2,759.68 crore as of 31 March 2023 from Rs 2,497.02 crore as of 31 March
2022. Sundry debtors were higher at Rs 1,211.57 crore as of 31 March
2023 compared to Rs 788.29 crore as of 31 March 2022. Cash and bank
balance declined from Rs 289.65 crore as of 31 March 2022 to Rs 160.93 crore as
of 31 March 2023. Investments declined from Rs 9,032.64 crore as of
31 March 2022 to Rs 8,683.14 crore as of 31 March 2023.
PBDT fell 21.84% to Rs 3155.71
crore. Provision for depreciation rose 44.93% to Rs 1660.67
crore. Fixed assets increased to Rs 10,202.81 crore as of 31 March
2023 from Rs 8,278.51 crore as of 31 March 2022. Intangible assets
increased from Rs 57.25 crore to Rs 74.67 crore.
Profit before tax down 48.30% to Rs
1,495.04 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 225.9 crore, compared
to Rs 555.21 crore. Effective tax rate was 15.11% compared to
19.20%.
Net profit attributable to owners of
the company decreased 45.51% to Rs 1,270.70 crore.
Equity capital stood at Rs 36.08
crore as of 31 March 2023 to Rs 36.08 crore as of 31 March 2022. Per
share face Value remained same at Rs 10.00.
Promoters’ stake was 62.55% as of 31
March 2023 ,compared to 62.55% as of 31 March 2022 .
Cash flow from operating activities
decreased to Rs 2,568.74 crore for year ended March 2023 from Rs 2,667.88 crore
for year ended March 2022. Cash flow used in acquiring fixed assets
during the year ended March 2023 stood at Rs 3,314.45 crore, compared to Rs
2,218.22 crore during the year ended March 2022.
Dividend
The Board
of Directors of the Company has declared a second interim
dividend of Rs 55 per share (550%)
for the year 2022-23.
CAPEX:
The
Company has been actively working on achieving its goal of having 80 million
tonnes capacity by year 2030. On this front, status of projects under
implementation is as below:
Commissioning of Purulia grinding
unit with
capacity of
3.0 MTPA is
scheduled by end of Q1of FY 2023-24.
Nawalgarh
project with 3.50 MTPA capacity is progressing on schedule, and
we expect the commissioning to be achieved by end of Q3
of FY 2023-24.
We
are also progressing strongly on our project In Guntur
district of Andhra Pradesh which
should be commissioned early next financial year.
Management Commentary:
Commenting
on the performance during the quarter, Mr. Neeraj Akhoury, Managing Director,
Shree Cement Ltd. said, “Shree
cement has delivered a robust set of revenue & EBITDA growth while
strongly pursuing our journey to remain thegreenest cement company with world
class performance indicators. We
are driving prioritized
initiatives to increase green power, usage
of alternative fuels, process automations combined with advanced digitalization of the operations to deliver superior performance. The improved
performance during this quarter is testimony of such initiatives amidst the
challenge of managing high fuel costs. Our
resolve to step up actions on strengthening brand equity is under execution
and we are confident to deliver volume growth with focus on premium cement
creating enhanced value for our customers.”
He
added that “We continue to execute sharp action
plans to
reach beyond 80 million tons cement capacity in
the coming years. Our growth plan will
add significant value to our business
and provide opportunities for
all our stakeholders.”
| Shree Cement : Consolidated Results | | | Quarter ended | Year ended |
|---|
| Particulars | 202303 | 202203 | Var.(%) | 202303 | 202203 | Var.(%) |
|---|
| Net Sales (including other operating income) | 5,100.19 | 4,364.24 | 16.86 | 17,852.33 | 15,009.56 | 18.94 | | OPM (%) | 17.43 | 21.05 | -362 bps | 16.58 | 24.70 | -813 bps | | OP | 889.20 | 918.81 | -3.22 | 2,959.50 | 3,707.93 | -20.18 | | Other Inc. | 145.72 | 137.36 | 6.09 | 459.08 | 545.89 | -15.90 | | PBIDT | 1,034.92 | 1,056.17 | -2.01 | 3,418.58 | 4,253.82 | -19.64 | | Interest | 71.27 | 52.17 | 36.61 | 262.87 | 216.12 | 21.63 | | PBDT | 963.65 | 1,004.00 | -4.02 | 3,155.71 | 4,037.70 | -21.84 | | Depreciation | 472.82 | 296.73 | 59.34 | 1660.67 | 1145.88 | 44.93 | | PBT | 490.83 | 707.27 | -30.60 | 1495.04 | 2891.82 | -48.30 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 490.83 | 707.27 | -30.60 | 1495.04 | 2891.82 | -48.30 | | EO Income | 0 | 0 | - | 0 | 0 | - | | PBT after EO | 490.83 | 707.27 | -30.60 | 1495.04 | 2891.82 | -48.30 | | Taxation | -34.38 | 48.19 | LP | 225.9 | 555.21 | -59.31 | | PAT | 525.21 | 659.08 | -20.31 | 1269.14 | 2336.61 | -45.68 | | Minority Interest (MI) | -0.56 | 1.84 | LP | -1.56 | 4.67 | LP | | Net profit | 525.77 | 657.24 | -20.00 | 1270.7 | 2331.94 | -45.51 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 525.77 | 657.24 | -20.00 | 1270.7 | 2331.94 | -45.51 | | EPS (Rs)* | 136.18 | 182.16 | -25.24 | 352.18 | 646.31 | -45.51 | | | * EPS is on current equity of Rs 36.08 crore, Face value of Rs 10, Excluding extraordinary items. | | # EPS is not annualised | | bps : Basis points | | EO : Extraordinary items | | Figures in Rs crore | | Source: Capitaline Corporate Database |
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