The Ramco Cements Ltd. share price target

Revenue fell by 5.18% to Rs. 1185.97 Cr in Q1FY19 when compared to the previous quarter. The Ramco Cements Ltd Q1FY19 results Comment

Ramco reported mixed Q1FY19 results. Revenues increased 18.6% YoY to | 1219.9 crore (vs. I-direct estimate: | 1178.9 crore) led by 21.4% YoY increase in volumes to 2.6 MT (vs. I-direct estimate: 2.5 MT) due to higher sales in the eastern region while realisations remained weak, down 2.3% YoY to | 4674/t (vs. I-direct estimate: of | 4,667) EBITDA/t declined 29% YoY to | 959/t (vs. I-direct estimate: | 1,033/t)...

RCL's revenue grew by a healthy 20% YoY (-5% QoQ) to Rs11.9bn led by 22% YoY growth in sales volume to 2.61mnT (including exports of 0.04mnT) owing to higher contribution from the Eastern markets and gradual traction in TN markets since last couple of months. Looking ahead, we...

ICICI Securities Ltd | Retail Equity Research Ramco reported a mixed set of Q4FY18 numbers. Revenues increased 22.3% YoY to | 1,254.8 crore (vs. I-direct estimate of | 1,206.5 crore) led by 20.2% YoY increase in volumes to 2.7 MT (vs. I-direct estimate of 2.6 MT) due to higher sales in eastern region. Further, realisation increased 1.8% YoY to | 4,586 (vs. I-direct estimate of | 4,710) EBITDA/t declined 16.4% YoY to | 995/t (vs. I-direct estimate of...

Ramco Cements (RCL) has delivered an improved performance in 4QFY18, with its operating profit growing by 12% YoY and 18% QoQ to Rs2.68bn (vs. our estimate of Rs2.25bn) led by higher-than-estimated sales volume. EBITDA/tonne came in at Rs980 vs. Rs1,052 and Rs996 in 4QFY17 and 3QFY18, respectively, while average realisation/tonne stood at Rs4,571 (+2.7% YoY and -0.8% QoQ). Sales volume improved substantially by 20% YoY and 21% QoQ to 2.74mnT mainly on account of higher contribution from the Eastern markets and gradual revival in Tamil Nadu. Considering visible revival in TN markets and sustained demand environment in other key markets, we believe RCL may continue to deliver higher sales in subsequent years. However,...

TRCLs volumes grew 20% YoY to 2.74mt (est. of 2.6mt) in 4QFY18, driven by strong growth in the eastern market. South volumes also grew at a healthy pace. Cement realizations stood at INR4,571/ton (+2.7% YoY, -0.8% QoQ) v/s our estimate of INR4,539/ton due to weaker prices in south. Revenue grew 23% YoY to 23 May 2018 INR12.5b, better than our estimate of INR11.9b, due to the realization beat. Blended EBITDA/t fell 8% YoY (-2% QoQ) to INR985 (est. of INR1,009) due to cost push. Cost/t increased 6% YoY (-1% QoQ) to INR3,591 (est. of INR3,569) due to higher P&F; cost/t (+29% YoY, led by higher petcoke prices) and freight cost/t (+18% YoY, led by higher diesel prices).

Weakness in cement prices in South region hurt Ramco Cements' Q3 performance. EBITDA at Rs 2.3 bn was lower than our and consensus estimate of Rs 2.6 bn. Despite low demand for cement in Tamil Nadu (its main market)

Cost escalation and soft realisation resulted in TRCL reporting operating and Net profit below estimates, despite healthy volume growth of 14.4% YoY & 5.7% QoQ. A recent interaction with dealers and south India based companies suggest enhancement of cement realisation from the exit rate of Q3FY18. Supreme court stay on Madras high court ban on the sand mining will aid improve cement offtake in the key market of Tamil Nadu and lead to pricing environment...

The Ramco Cements Ltd Q3FY18 results comment Revenue rose by 1.77% to Rs. 1047.51 Cr in Q3FY18 when compared to the previous quarter. Also, it increased by 12.54% when compared with Q3FY17.

Maintain NEUTRAL with a TP of Rs 690 (12x Dec-19 EV/EBITDA). Ramco Cements' numbers missed estimates (EBITDA/t: Rs 1,016/t, -23.2/-19.6% YoY/QoQ, Est 1,274). While volumes (2.27 mT, 14.7% YoY, Est 2.21mT) were in-line, realisations (Rs 4,606/t, -1.9/-3.7% YoY/QoQ, Est 4,879) led to the miss. Freight costs increased in the quarter (14.1/4.8% YoY/QoQ) owing to increased diesel prices.