Star Cement Ltd's Q3FY25 Quarterly Results

Result Summary

• Star Cement Ltd reported a 12.1% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 10.0%.
• Its expenses for the quarter were up by 12.3% QoQ and 31.6% YoY.
• The net profit increased 59.6% QoQ and decreased 87.7% YoY.
• The earnings per share (EPS) of Star Cement Ltd stood at 0.2 during Q3FY25.

Financial Statments for Q3FY25

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

Company Overview

Star Cement Ltd is a key player in the cement manufacturing industry. The company is primarily engaged in the production and sale of cement, which is a crucial building material used in construction projects. Star Cement operates in a sector that is heavily influenced by infrastructure development and housing construction. As of the latest data available up to October 2023, the company has not released any significant recent developments. However, the cement industry, in general, is often impacted by factors such as government policies, raw material prices, and seasonal demand variations.

Revenue

For the third quarter of fiscal year 2025 (Q3FY25), Star Cement Ltd reported a total income of ₹721.28 crores. This reflects a quarter-over-quarter (QoQ) growth of 12.1% from Q2FY25, where the total income was ₹643.18 crores. When compared year-over-year (YoY) to Q3FY24, which recorded ₹655.54 crores, there is a noticeable increase of 10.0%. This revenue growth is indicative of the company's improved sales performance over both the previous quarter and the same period last year.

Profitability

In Q3FY25, Star Cement's profit before tax (PBT) was ₹7.61 crores, showing a slight QoQ increase of 0.7% from ₹7.56 crores in Q2FY25. However, when compared to Q3FY24, where PBT stood at ₹113.41 crores, there is a significant YoY decline of 93.3%. The tax component in Q3FY25 was a credit of ₹1.44 crores, contrasting with a tax expense of ₹1.89 crores in Q2FY25 and ₹39.89 crores in Q3FY24. Profit after tax (PAT) for Q3FY25 was ₹9.05 crores, exhibiting a robust QoQ growth of 59.6% from ₹5.67 crores in Q2FY25, but a sharp YoY decrease of 87.7% from ₹73.52 crores in Q3FY24. The earnings per share (EPS) for Q3FY25 was ₹0.20, marking a 100% increase QoQ from ₹0.10, yet an 88.9% decrease YoY from ₹1.80.

Operating Metrics

Total expenses for Star Cement Ltd in Q3FY25 amounted to ₹713.67 crores, reflecting a QoQ increase of 12.3% from ₹635.61 crores in Q2FY25. On a YoY basis, the expenses rose significantly by 31.6% from ₹542.12 crores in Q3FY24. This rise in expenses has contributed to the fluctuations observed in the company's profitability metrics. The financial performance metrics highlight the company's operational challenges and cost management strategies during the reported periods.