Shree Cement (SHREECEM) Q4 24/25 earnings summary

Executive summary

• Q4 FY25 saw a strong rebound in cement demand, driven by government CapEx, rural recovery, and urbanization, with commercial and residential segments both contributing to growth.

• Strategic focus on premium products, brand positioning, and sustainability initiatives supported superior operational and financial performance.

• Audited standalone and consolidated financial results for the quarter and year ended 31 March 2025 were approved, with a final dividend of ₹60 per share recommended, in addition to an interim dividend of ₹50 per share for FY 2024-25.

• Statutory auditors issued unmodified opinions on both standalone and consolidated results.

Financial highlights

• India sales volume rose to 9.84 million tons, up 13% sequentially from 8.67 million tons.

• Average realization per ton increased 5% sequentially to ₹4,768.

• Standalone revenue from operations for FY25 was ₹19,476.68 crore, up from ₹18,037.33 crore year-over-year; consolidated revenue was ₹20,403.80 crore, up from ₹19,282.83 crore.

• Standalone net profit for FY25 was ₹2,468.44 crore, down from ₹3,045.63 crore in FY24; consolidated net profit was ₹2,396.16 crore, down from ₹2,959.20 crore.

• EBITDA for the quarter was ₹1,383 crore, up 47% sequentially; EBITDA per ton rose 29% to ₹1,406.

• Adjusted EBITDA per ton was ₹1,437, excluding a one-off VRS cost of ₹30.66 crore.

• Standalone EBITDA for FY25 was ₹4,413.91 crore (FY24: ₹4,924.63 crore); consolidated EBITDA was ₹4,523.25 crore (FY24: ₹5,114.86 crore).

• Standalone EPS for FY25 was ₹684.14 (FY24: ₹1,076.87); consolidated EPS was ₹663.98 (FY24: ₹1,102.79).

• Fuel cost per KKL dropped to 1.48 from 1.82 YoY; lead distance increased to 446 km from 435 km YoY.

• Trade share remained at 73%.

• Net debt as of March 2024 was approximately ₹5,400 crore.

Outlook and guidance

• Cement demand is expected to grow 6.5%–7.5% in FY26, supported by infrastructure, rural recovery, real estate, and lower interest rates.

• Volume guidance for FY26 is around 39 million tons, with a continued focus on balancing volume and profitability.

• Capacity utilization is expected to gradually rise to 75%–85% over the next 2–3 years.

• Board recommended a final dividend of ₹60 per share, subject to AGM approval, reflecting continued shareholder returns.

• Company continues to focus on capacity expansion and operational efficiency.