Shree Cement's Q1 FY 2025-26 Quarter Results

Result Summary

• Shree Cement Ltd reported a 1.2% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 4.8%.
• Its expenses for the quarter were down by 2.7% QoQ and 6.2% YoY.
• The net profit decreased 4.7% QoQ and increased 131.2% YoY.
• The earnings per share (EPS) of Shree Cement Ltd stood at 178.1 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Shree Cement Ltd is a leading player in the cement industry in India. The company is known for producing and supplying a range of cement products to cater to the construction sector. Shree Cement's offerings include Ordinary Portland Cement (OPC), Portland Pozzolana Cement (PPC), and Portland Slag Cement (PSC). The company has a strong presence in the northern, eastern, and southern parts of India, contributing significantly to the infrastructure and real estate sectors. As of the data available, there are no major developments or changes in the company's product lineup or market strategy. However, the company consistently focuses on expanding its manufacturing capacities and enhancing operational efficiencies to meet the growing demand for cement in India.

Revenue

In the first quarter of fiscal year 2026 (Q1FY26), Shree Cement Ltd reported a total income of ₹5516.11 crores. This represents a slight decline of 1.2% compared to the previous quarter (Q4FY25), where the total income was ₹5582.44 crores. However, when compared year-over-year, the total income has increased by 4.8%, up from ₹5263.09 crores in Q1FY25. This year-over-year growth reflects an increase in sales and revenue generation over the past year. The quarterly decrease could be attributed to seasonal variations in demand, while the annual increase suggests a broader trend of growth in the company's revenue streams.

Profitability

The company's profitability metrics for Q1FY26 indicate a strong year-over-year improvement. The profit before tax (PBT) for this quarter stood at ₹868.49 crores, marking a significant 184.0% increase from ₹305.85 crores in Q1FY25. This improvement is also reflected in the profit after tax (PAT), which was ₹643.66 crores for Q1FY26 compared to ₹278.45 crores a year prior, representing a 131.2% increase. Despite this strong annual performance, there was a quarter-over-quarter decline, with PAT decreasing by 4.7% from ₹675.75 crores in Q4FY25. The earnings per share (EPS) also mirrored this trend, decreasing by 4.8% QoQ but increasing by 130.7% YoY, reaching ₹178.10 per share in Q1FY26.

Operating Metrics

The analysis of Shree Cement Ltd's operating metrics for Q1FY26 shows a decrease in total expenses, which were ₹4647.62 crores, a 2.7% reduction from ₹4775.35 crores in the previous quarter. This reduction in expenses contributed to a more favorable cost structure despite a slight reduction in revenue. Comparatively, expenses decreased by 6.2% on a year-over-year basis from ₹4957.24 crores in Q1FY25, indicating improved operational efficiency. The tax expense for Q1FY26 was ₹224.83 crores, a substantial increase of 71.2% QoQ and 720.5% YoY, due to higher profitability, which resulted in a higher tax liability. These operating metrics provide insights into the company's cost management strategies and its ability to maintain profitability through efficient operations.