Shyam Metalics and Energy (SHYAMMETL) Q4 18/19 earnings summary

Executive summary

• FY19 consolidated revenue was ₹46,864.11 million, EBITDA ₹10,042.32 million and profit after tax ₹6,358.48 million; all increased YoY.

• Production spans ferro alloys, iron and steel products, pellets and captive power; new DRI, SMS and pellet capacity began commercial production in April 2019.

Financial highlights

• Consolidated total revenue rose to ₹46,864.11 million from ₹39,237.49 million; revenue from operations was ₹46,005.14 million versus ₹38,484.47 million.

• Consolidated EBITDA was ₹10,042.32 million versus ₹7,711.34 million; PBT was ₹7,629.62 million versus ₹5,078.65 million.

• Consolidated PAT was ₹6,358.48 million versus ₹5,185.18 million; ₹6,031.90 million was attributable to owners, versus ₹4,148.45 million.

• Standalone revenue from operations was ₹21,507.66 million versus ₹17,745.17 million; PAT was ₹2,852.44 million versus ₹2,818.44 million.

Outlook and guidance

• Management cited an optimistic outlook and readiness to benefit from iron and steel sector growth as projects are completed and commissioned.

• DRI, SMS and pellet commercial production began in April 2019; captive power plant and wire rod mill projects were at an advanced stage.

• IMF projections cited global growth of 3.3% in 2019 and 3.6% in 2020; India growth was projected at 7.3% and 7.5%, respectively.