On consolidated basis
Quarter ended September 2023
compared with Quarter ended September 2022.
Net sales (including other operating income) of Shree Cement has increased 18.87%
to Rs 4800.16 crore.
Operating profit margin has jumped
from 13.44% to 18.46%, leading to 63.25% rise in operating profit to Rs 886.04
crore. Raw material cost as a % of total sales (net of stock
adjustments) decreased from 8.01% to 7.63%. Purchase of finished
goods cost fell from 0.86% to 0.06%. Employee cost decreased from
5.93% to 5.58%. Other expenses fell from 71.67% to 68.15%.
Power and Oil fuel cost fell from 34.33% to 32.22%.
Freight charges fell from 21.64% to 20.60%.
Other income fell 17.19% to Rs
131.95 crore. PBIDT rose 44.99% to Rs 1017.99
crore. Provision for interest rose 1.58% to Rs 67.05
crore. Loan funds declined from Rs 2,932.72 crore as of 30 September
2022 to Rs 2,004.74 crore as of 30 September 2023. Inventories
declined from Rs 2,771.09 crore as of 30 September 2022 to Rs 2,237.37 crore as
of 30 September 2023. Sundry debtors were higher at Rs 1,632.72
crore as of 30 September 2023 compared to Rs 1,245.41 crore as of 30 September
2022. Cash and bank balance rose to Rs 228.08 crore as of 30
September 2023 from Rs 190.68 crore as of 30 September
2022. Investments declined from Rs 8,801.04 crore as of 30 September
2022 to Rs 8,051.99 crore as of 30 September 2023.
PBDT rose 49.50% to Rs 950.94
crore. Provision for depreciation rose 4.06% to Rs 411.7
crore. Fixed assets increased to Rs 11,076.33 crore as of 30
September 2023 from Rs 9,040.56 crore as of 30 September
2022. Intangible assets increased from Rs 56.63 crore to Rs 85.23
crore.
Profit before tax grew 124.24% to Rs
539.24 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 92.62 crore, compared
to Rs 57.23 crore. Effective tax rate was 17.18% compared to 23.80%.
Minority interest increased 91.67%
to Rs -0.01 crore. Net profit attributable to owners of the company
increased 143.58% to Rs 446.63 crore.
Equity capital stood at Rs 36.08
crore as of 30 September 2023 to Rs 36.08 crore as of 30 September
2022. Per share face Value remained same at Rs 10.00.
Promoters’ stake was 62.55% as of 30
September 2023 ,compared to 62.55% as of 30 September 2022 .
Year-to-date (YTD) results analysis.
Net sales (including other operating income) of Shree Cement has increased
16.71% to Rs 9864.99 crore.
Operating profit margin has jumped
from 15.89% to 18.56%, leading to 36.27% rise in operating profit to Rs
1,830.96 crore. Raw material cost as a % of total sales (net of
stock adjustments) increased from 7.53% to 7.77%. Purchase of
finished goods cost fell from 0.69% to 0.07%. Employee cost
decreased from 5.65% to 5.39%. Other expenses fell from 70.37% to
68.22%. Power and Oil fuel cost fell from 33.93% to 32.77%.
Freight charges fell from 20.92% to 20.85%.
Other income rose 116.19% to Rs
301.02 crore. PBIDT rose 43.78% to Rs 2131.98
crore. Provision for interest rose 16.40% to Rs 141.36
crore. Loan funds declined from Rs 2,932.72 crore as of 30 September
2022 to Rs 2,004.74 crore as of 30 September 2023. Inventories
declined from Rs 2,771.09 crore as of 30 September 2022 to Rs 2,237.37 crore as
of 30 September 2023. Sundry debtors were higher at Rs 1,632.72
crore as of 30 September 2023 compared to Rs 1,245.41 crore as of 30 September
2022. Cash and bank balance rose to Rs 228.08 crore as of 30 September
2023 from Rs 190.68 crore as of 30 September 2022. Investments
declined from Rs 8,801.04 crore as of 30 September 2022 to Rs 8,051.99 crore as
of 30 September 2023.
PBDT rose 46.22% to Rs 1990.62
crore. Provision for depreciation rose 0.79% to Rs 751.15
crore. Fixed assets increased to Rs 11,076.33 crore as of 30
September 2023 from Rs 9,040.56 crore as of 30 September
2022. Intangible assets increased from Rs 56.63 crore to Rs 85.23
crore.
Profit before tax grew 101.18% to Rs
1,239.47 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 220.91 crore, compared
to Rs 154.01 crore. Effective tax rate was 17.82% compared to
25.00%.
Minority interest increased 51.32%
to Rs -0.37 crore. Net profit attributable to owners of the company
increased 120.14% to Rs 1,018.93 crore.
Equity capital stood at Rs 36.08
crore as of 30 September 2023 to Rs 36.08 crore as of 30 September
2022. Per share face Value remained same at Rs 10.00.
Promoters’ stake was 62.55% as of 30
September 2023 ,compared to 62.55% as of 30 September 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.
Operation highlights
Total sale volume increased YoY by 10% from 7.46 million
tonnes to 8.20 million tones
Capacity utilization improved from 65% to 71% on YoY basis
Sale of premium products risen to 9.5% vis-à-vis 7.5% of
total trade sales on YoY basis
CAPEX:
The
Board has approved setting up of brownfield cement grinding capacity of 3.40
million tonnes per annum capacity at Company’s existing facilities at Baloda
Bazar district of Chhattisgarh with estimated capital expenditure of Rs 550
crore. The project is estimated to be completed by September 2025.
Management
Commentary:
Commenting
on the performance during the quarter, Mr. Neeraj Akhoury, Managing Director,
Shree Cement Ltd. said“We are excited to announce our Q2 performance with
strong EBIDTA generation of Rs 870 crore on the back
of
volume growth of 10% and improved operational matrices. In our transformation
journey, we have made significant progress on establishing world class
operational benchmarks, enhanced brand equity and reduced environmental
footprints. We continue to add world-class technology enablers to improve this performance
further. We continually improve our volumes quarter over quarter.
As the country enters into a
multi-year strong demand cycle, we are aggressively marching ahead on our expansion
plans to achieve our target of going beyond 80 million tons capacity by 2028.”
| Shree Cement : Consolidated Results | | | Quarter ended | Year to Date | Year ended |
|---|
| Particulars | 202309 | 202209 | Var.(%) | 202309 | 202209 | Var.(%) | 202303 | 202203 | Var.(%) |
|---|
| Net Sales (including other operating income) | 4,800.16 | 4,038.03 | 18.87 | 9,864.99 | 8,452.88 | 16.71 | 17,852.33 | 15,009.56 | 18.94 | | OPM (%) | 18.46 | 13.44 | 502 bps | 18.56 | 15.89 | 267 bps | 16.58 | 24.70 | -813 bps | | OP | 886.04 | 542.76 | 63.25 | 1,830.96 | 1,343.58 | 36.27 | 2,959.50 | 3,707.93 | -20.18 | | Other Inc. | 131.95 | 159.34 | -17.19 | 301.02 | 139.24 | 116.19 | 459.08 | 545.89 | -15.90 | | PBIDT | 1,017.99 | 702.10 | 44.99 | 2,131.98 | 1,482.82 | 43.78 | 3,418.58 | 4,253.82 | -19.64 | | Interest | 67.05 | 66.01 | 1.58 | 141.36 | 121.44 | 16.40 | 262.87 | 216.12 | 21.63 | | PBDT | 950.94 | 636.09 | 49.50 | 1,990.62 | 1,361.38 | 46.22 | 3,155.71 | 4,037.70 | -21.84 | | Depreciation | 411.7 | 395.62 | 4.06 | 751.15 | 745.27 | 0.79 | 1660.67 | 1145.88 | 44.93 | | PBT | 539.24 | 240.47 | 124.24 | 1239.47 | 616.11 | 101.18 | 1495.04 | 2891.82 | -48.30 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 539.24 | 240.47 | 124.24 | 1239.47 | 616.11 | 101.18 | 1495.04 | 2891.82 | -48.30 | | EO Income | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | PBT after EO | 539.24 | 240.47 | 124.24 | 1239.47 | 616.11 | 101.18 | 1495.04 | 2891.82 | -48.30 | | Taxation | 92.62 | 57.23 | 61.84 | 220.91 | 154.01 | 43.44 | 225.9 | 555.21 | -59.31 | | PAT | 446.62 | 183.24 | 143.73 | 1018.56 | 462.1 | 120.42 | 1269.14 | 2336.61 | -45.68 | | Minority Interest (MI) | -0.01 | -0.12 | 91.67 | -0.37 | -0.76 | 51.32 | -1.56 | 4.67 | LP | | Net profit | 446.63 | 183.36 | 143.58 | 1018.93 | 462.86 | 120.14 | 1270.7 | 2331.94 | -45.51 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 446.63 | 183.36 | 143.58 | 1018.93 | 462.86 | 120.14 | 1270.7 | 2331.94 | -45.51 | | EPS (Rs)* | 123.79 | 50.82 | 143.58 | 282.40 | 128.28 | 120.14 | 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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