Shree Cement Q1 Results: Profit Falls But Beats Estimates
Shree Cement Ltd.’s quarterly profit fell as power and fuel costs rose. Still, the earnings beat estimates.
Net profit of the cement maker fell 13.8% sequentially to Rs 661.7 crore in the quarter ended June, according to an exchange filing. That compares with the Rs 597-crore consensus estimate of analysts tracked by Bloomberg.
Q1 FY22 highlights (QoQ)
Revenue down 12.8% at Rs 3,449.5 crore, compared with the estimated Rs 3,345.3 crore.
Other income rose 17% to Rs 139.7 crore.
The company’s operating income declined more than 14% to Rs 1,013 crore, against the Bloomberg consensus forecast of Rs 1,031 crore.
Margin remained stable at 29%.
Shree Cement’s power & fuel costs stood at 18.9% of net sales compared with 16.1% in the preceding three months. Employee benefits expenses were at 6% of net sales.
On a standalone basis, the company’s total volumes were down 16.7% at 6.84 million tonnes.
Realisation—or what cement makers earn on every tonne of the product — rose 3.7% to Rs 5,080 per tonne.
Ebitda per tonne rose 2.8% to Rs 1,482.
Shares of Shree Cement closed 0.48% before the results were announced compared with a 0.12% gain in the benchmark Nifty 50.