September quarter net profit falls 35%; half-year revenue drops 23%
ORIENTCEM · price
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On the reaction day the stock moved 2.4 pts more than Nifty Microcap 250 and 1.9 pts more than its Cement & Cement Products peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.
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Orient Cement reported September quarter revenue of Rs 565 crore, down 12% from Rs 643 crore, and profit after tax of Rs 32 crore, down 35% from Rs 49 crore. For the half year, revenue fell 23% to Rs 1,169 crore and profit after tax dropped 57% to Rs 109 crore. Operating cash flow was Rs 533 crore, but the company lent Rs 512 crore to parent Ambuja Cements at 8%. The limited review found no material misstatement.
Weaker sales and profit may pressure sentiment. Strong cash flow helps, but the Rs 512 crore loan to the parent raises capital allocation risk.