Dolat Capital: Ramco Cements Reports Weak Quarter, Fair Valuation 

Dolat Capital: Ramco Cements Reports Weak Quarter, Fair Valuation

Ramco Cement Ltd.’s Plant in Aryalur District, Tamil Nadu (image: Company Website)

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Dolat Capital Report

Ramco Cements Ltd.’s revenue was in line however, Ebitda and profit after tax below estimates.

The Company posted a muted set of numbers with 24.7%/ 27.6%/ 42.9% YoY de-growth in revenue/ Ebitda/ profit after tax to Rs 10.4 billion/ Rs 2.6 billion/ Rs 1.1 billion in Q1 FY21 due to down 28.3%/up 5.9% YoY growth in volume/ realization (up 12.1% QoQ).

We expect 6.0%/ 8.1%/ 2.4% revenue/ Ebitda/ PAT compound annual growth rate over FY2022E led by down 6.9%/ 15.0% volume growth and 3.3%/ 2.0% realization growth in FY21E/ FY22E.

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Dolat Capital Ramco Cement Q1FY21 Result Update.pdf
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