Shree Cement Q4 Results: Profit Rises 23% As Demand Recovers
Shree Cement Ltd.’s quarterly profit rose as demand recovered and realisation improved.
Net profit of the cement maker increased 22.6% sequentially to Rs 767.6 crore in the quarter ended March, according to its exchange filing. That compares with the Rs 690.5-crore consensus estimate of analysts tracked by Bloomberg. The bottom line was aided by higher realisation, lower depreciation and interest cost.
- Revenue rose 18.7% to Rs 3,930.8 crore, against the forecast of Rs 3,818 crore, driven by higher volumes and realisation.
- Operating profit rose 8.1% to Rs 1,177.2 crore. That was the highest in at least nine quarters. Bloomberg consensus estimates pegged the metric at Rs 1,178.8 crore.
- Volumes rose 14.9% to 8.08 million tonnes. Few brokerages were expecting volumes at 7.7 MT.
- Realisation—or what cement makers earn on every tonne of the product— rose 3.3% to Rs 4,865 per tonne. Ebitda per tonne, however, slid 6% to Rs 1,456 amid higher employee and freight costs.
Shares of Shree Cement closed 0.41% higher before the results were announced on May 21, compared with a 1.8% gain in the benchmark Nifty 50.