Strong Operating Performance despite Dismal Show by Power Division Shree Cement (SRCM) has reported a strong operating performance in 3QFY20 albeit missing our estimates. EBITDA grew by 20% YoY to Rs8.5bn (vs. our estimate of Rs9bn), while EBITDA/ tonne remained strong at Rs1,365/tonne vs. Rs1,067 in 3QFY19 and Rs1,451 in 2QFY19. Sales volume grew by 5.3% YoY to 6.25mnT, while average realisation stood at Rs4,512/tonne (+4.6% YoY and -3% QoQ) slightly below our estimate of Rs4,540. Operating cost/tonne for cement declined by 3% YoY and 1.7% QoQ to Rs3,147 (-3% YoY and -1.7% QoQ) mainly led by steep decline in input cost/tonne entailed by reduction in fuel cost. However, its power division has...