JSW Cement (JSWCEMENT) Q4 18/19 earnings summary

Executive summary

• FY2019 sales volume rose 43% to 7.35 MTPA; installed capacity reached 12.8 MTPA after the Dolvi expansion.

• Consolidated revenue from operations was ₹2,722.23 crores and net profit ₹90.31 crores; operating EBITDA was ₹440.54 crores.

Financial highlights

• Consolidated revenue from operations increased from ₹1,669.50 crores in FY2018 to ₹2,722.23 crores in FY2019; operating EBITDA was ₹440.54 crores versus ₹328.5 crores.

• Consolidated EBITDA was ₹490.10 crores versus ₹451.10 crores; profit for the year was ₹90.31 crores versus ₹157.77 crores, with prior-year profit including a ₹98.40 crore Shiva stake remeasurement gain.

• Q4 sales volume was 2.29 MMT, revenue ₹872.1 crores, operating EBITDA ₹162.6 crores and PAT ₹59.1 crores.

• Standalone revenue was ₹2,647.33 crores, operating EBITDA ₹450.94 crores and PAT ₹118.46 crores; capacity utilisation was 60%.

Outlook and guidance

• FY2020 demand was expected to remain solid, with profitable growth targeted; capacity expansion plans aim for 30 MTPA by FY2025.

• Planned additions include 1.2 MTPA grinding capacity at Jajpur, a 1 MTPA clinker facility at Fujairah and further debottlenecking and brownfield grinding expansions.

• A cement-grinding facility at Jajpur was scheduled for completion by June 2019; the 1 MTPA Fujairah clinker plant was progressing, with kiln firing expected in Q1 FY2020.

• Listing was targeted within the next two years to support growth funding and value unlocking.