Ramco Cements Q4 Results: Strong Profit Growth
Ramco Cements, one of India’s leading cement manufacturers, has announced strong results for Q4 2023, with net profit up 27.3% to Rs 150.6 crore. This growth has been driven by increased sales volumes and better pricing in key markets. The company has also reported an increase in EBITDA margins from 22.5% to 24.9%. Ramco Cements’ strong performance in Q4 has helped the company to post healthy results for the full financial year, with net profit up 16.4% to Rs 533.7 crore.
Sales Volumes and Pricing Drive Strong Performance
The increase in sales volumes and better pricing in key markets has been the key driver of Ramco Cements’ strong performance in Q4. The company reported a 6.2% increase in sales volumes to 24.32 lakh tonnes, compared to 22.91 lakh tonnes in the same period last year. This growth has been driven by increased demand from both the infrastructure and real estate sectors, as well as from individual home builders. The company has also benefitted from better pricing in key markets, which has offset the impact of higher input costs.
EBITDA Margins Improve
Ramco Cements has also reported an improvement in EBITDA margins, from 22.5% in the same period last year to 24.9% in Q4 2023. This improvement has been driven by a reduction in raw material costs, as well as by the company’s focus on operational efficiencies.
The ongoing COVID-19 pandemic has had a mixed impact on Ramco Cements’ operations. While the company has benefitted from increased demand from the infrastructure and real estate sectors, it has also faced challenges from disruptions to supply chains and logistics. The company has been working hard to mitigate these challenges, and has been implementing a range of measures to ensure the safety of its employees and customers.
Looking ahead, Ramco Cements is optimistic about the growth prospects for the cement industry in India, driven by increased infrastructure spending, housing demand, and the government’s focus on initiatives such as ‘Make in India’ and ‘Smart Cities’. The company is well-positioned to capitalize on these trends, with a strong presence in key markets and a focus on innovation and operational efficiency.
Ramco Cements’ strong performance in Q4 2023 reflects the company’s ability to capitalize on the growth opportunities in the Indian cement industry. The increase in sales volumes and better pricing in key markets, as well as the focus on operational efficiency, has helped the company to deliver strong results for the full financial year. With a positive outlook for the industry, Ramco Cements is poised for continued growth and success in the years ahead.
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