On consolidated basis
Quarter ended June 2024 compared
with Quarter ended June 2023.
Net sales (including other operating income) of Shree Cement has increased
1.75% to Rs 5123.96 crore.
Operating profit margin has declined
from 18.76% to 18.10%, leading to 1.88% decline in operating profit to Rs
927.18 crore. Raw material cost as a % of total sales (net of stock
adjustments) increased from 7.80% to 8.31%. Purchase of finished
goods cost rose from 0.08% to 0.09%. Employee cost increased from
5.24% to 5.56%. Other expenses fell from 68.24% to 67.98%.
Power and Oil fuel cost fell from 33.30% to 30.09%.
Freight charges rose from 21.21% to 22.35%.
Other income fell 17.71% to Rs
139.13 crore. PBIDT fell 4.28% to Rs 1066.31
crore. Provision for interest fell 24.37% to Rs 56.2
crore.
PBDT fell 2.84% to Rs 1010.11
crore. Provision for depreciation rose 107.47% to Rs 704.26
crore.
Profit before tax down 56.32% to Rs
305.85 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 27.4 crore, compared to
Rs 128.29 crore. Effective tax rate was 8.96% compared to 18.32%.
Minority interest increased 55.56%
to Rs -0.16 crore. Net profit attributable to owners of the company
decreased 51.32% to Rs 278.61 crore.
Promoters’ stake was 62.55% as of 30
June 2024 ,compared to 62.55% as of 30 June 2023 .
of 31 March 2023 .
Full year results analysis.
Net sales (including other operating income) of Shree Cement has increased
14.29% to Rs 20403.8 crore.
Operating profit margin has jumped
from 16.58% to 22.14%, leading to 52.62% rise in operating profit to Rs
4,516.74 crore. Purchase of finished goods cost fell from 0.50% to
0.05%. Employee cost decreased from 5.45% to 5.19%.
Other expenses fell from 69.63% to 64.80%. Power and
Oil fuel cost fell from 33.92% to 30.52%. Freight charges fell from
21.10% to 20.25%.
Other income rose 30.29% to Rs
598.12 crore. PBIDT rose 49.62% to Rs 5114.86
crore. Provision for interest fell 1.72% to Rs 258.34
crore. Loan funds declined from Rs 2,724.67 crore as of 31 March
2023 to Rs 1,655.55 crore as of 31 March 2024. Inventories rose to
Rs 3,555.07 crore as of 31 March 2024 from Rs 2,759.68 crore as of 31 March
2023. Sundry debtors were higher at Rs 1,286.53 crore as of 31 March
2024 compared to Rs 1,211.57 crore as of 31 March 2023. Cash and
bank balance rose to Rs 421.81 crore as of 31 March 2024 from Rs 160.93 crore
as of 31 March 2023. Investments declined from Rs 8,683.14 crore as
of 31 March 2023 to Rs 7,555.83 crore as of 31 March 2024.
PBDT rose 53.90% to Rs 4856.52
crore. Provision for depreciation rose 14.25% to Rs 1897.32
crore. Fixed assets increased to Rs 11,397.13 crore as of 31 March
2024 from Rs 10,202.81 crore as of 31 March 2023. Intangible assets
increased from Rs 74.67 crore to Rs 123.45 crore.
Profit before tax grew 97.93% to Rs
2,959.20 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 563.04 crore, compared
to Rs 225.9 crore. Effective tax rate was 19.03% compared to 15.11%.
Net profit attributable to owners of
the company increased 88.53% to Rs 2,395.70 crore.
Equity capital stood at Rs 36.08
crore as of 31 March 2024 to Rs 36.08 crore as of 31 March 2023. Per
share face Value remained same at Rs 10.00.
Promoters’ stake was 62.55% as of 31
March 2024 ,compared to 62.55% as of 31 March 2023 .
Cash flow from operating activities
increased to Rs 3,347.49 crore for year ended March 2024 from Rs 2,568.74 crore
for year ended March 2023. Cash flow used in acquiring fixed assets
during the year ended March 2024 stood at Rs 3,200.35 crore, compared to Rs
3,314.45 crore during the year ended March 2023.
Operation highlights
Total sale volume increased YoY by 8% from 8.92 million
tonnes to 9.64 million tones in Q1FY2025.
CAPEX:
During
the quarter, the Company commissioned its integrated cement unit in Guntur
district of Andhra Pradesh with cement production capacity of 3.0 Million
Tonnes Per Annum (MTPA). Besides this, the Company’s ongoing
expansion
projects in Jaitaran, Rajasthan (6.0 MTPA), Kodla, Karnataka (3.00 MTPA),
Baloda Bazar, Chhattisgarh (3.40 MTPA), and Etah, Uttar Pradesh (3.00 MTPA) are
progressing satisfactorily as per schedule.
Power
generation capability
The Company achieved a significant
milestone of 1 GW (1,000 MW) of installed power capacity with the commissioning
of a 19.5 MW solar power plant at its manufacturing unit in Andhra Pradesh in
June 2024, taking
its total power capacity to 1003 MW.
The Company is further its solar power capacity by 135 MW across its manufacturing
locations in Rajasthan, Panipat, Jharkhand, Uttarakhand and Uttar Pradesh.
Management
Commentary:
Commenting
on the performance during the quarter, Mr. Neeraj Akhoury, Managing Director,
Shree Cement Ltd. Said “We continued to optimize our production processes,
enhance cost efficiencies and maintain a strong focus on branding initiatives.
These efforts enabled us to navigate the challenging market conditions marked
by sluggish demand due to general elections and extreme weather, consistently
delivering value to our stakeholders.”
He
added, "We will continue our focus on increasing our cement manufacturing
capacity to gain market share. This, along with our consistent product quality,
positions us well to capitalize on the anticipated rebound in cement demand
driven by enhanced infrastructure allocation in the Union Budget, rising
housing demand and expected growth in the rural sector”
| Shree Cement : Consolidated Results | | | Quarter ended | Year ended |
|---|
| Particulars | 202406 | 202306 | Var.(%) | 202403 | 202303 | Var.(%) |
|---|
| Net Sales (including other operating income) | 5,123.96 | 5,035.65 | 1.75 | 20,403.80 | 17,852.33 | 14.29 | | OPM (%) | 18.10 | 18.76 | -67 bps | 22.14 | 16.58 | 556 bps | | OP | 927.18 | 944.92 | -1.88 | 4,516.74 | 2,959.50 | 52.62 | | Other Inc. | 139.13 | 169.07 | -17.71 | 598.12 | 459.08 | 30.29 | | PBIDT | 1,066.31 | 1,113.99 | -4.28 | 5,114.86 | 3,418.58 | 49.62 | | Interest | 56.20 | 74.31 | -24.37 | 258.34 | 262.87 | -1.72 | | PBDT | 1,010.11 | 1,039.68 | -2.84 | 4,856.52 | 3,155.71 | 53.90 | | Depreciation | 704.26 | 339.45 | 107.47 | 1897.32 | 1660.67 | 14.25 | | PBT | 305.85 | 700.23 | -56.32 | 2959.2 | 1495.04 | 97.93 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 305.85 | 700.23 | -56.32 | 2959.2 | 1495.04 | 97.93 | | EO Income | 0 | 0 | - | 0 | 0 | - | | PBT after EO | 305.85 | 700.23 | -56.32 | 2959.2 | 1495.04 | 97.93 | | Taxation | 27.4 | 128.29 | -78.64 | 563.04 | 225.9 | 149.24 | | PAT | 278.45 | 571.94 | -51.31 | 2396.16 | 1269.14 | 88.80 | | Minority Interest (MI) | -0.16 | -0.36 | 55.56 | 0.46 | -1.56 | PL | | Net profit | 278.61 | 572.3 | -51.32 | 2395.7 | 1270.7 | 88.53 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 278.61 | 572.3 | -51.32 | 2395.7 | 1270.7 | 88.53 | | EPS (Rs)* | 77.22 | 158.62 | -51.32 | 663.98 | 352.18 | 88.53 | | | * 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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