Awaiting price reaction for this filing.
The Ramco Cements reported FY25 standalone results with net revenue falling 9% to Rs. 8,539 crores, hurt by around 10% YoY drop in cement prices. Sales volume grew marginally by 1% to 18.5 million tons, but capacity utilization slipped from 83% to 77% as new capacity was added. EBITDA declined 20% to Rs. 1,276 crores with operating margin compressing to 15% from 17%, and EBITDA per ton fell to Rs. 690 from Rs. 867. Despite weak operations, profit after tax rose to Rs. 417 crores from Rs. 395 crores, aided by Rs. 340 crores in exceptional gains from sale of investments and surplus lands. The company proposed a Rs. 2 per share dividend, reduced net debt by Rs. 340 crores to Rs. 4,481 crores, and guided Rs. 1,200 crores capex for FY26 to reach 30 MTPA cement capacity by March 2026. Cement prices in the southern region have already improved by Rs. 30–70 per bag in early FY26, though a new Rs. 160/ton mineral tax in Tamil Nadu will add about Rs. 200/ton to costs.
Operating performance was weak with revenue and margin pressure, but balance sheet is improving through debt reduction and asset sales. Short-term stock movement may depend on whether southern cement price recovery sustains and how the Tamil Nadu mineral tax is handled; long-term growth hinges on successful execution of capacity expansion to 30 MTPA.