Orient Cement

Orient Cement rose almost 10% to Rs.176.50, with volumes jumping up over two times.

This CK Birla group company posted a turnaround performance for Q1FY18 with a net profit of Rs.39 crore v/s net loss of Rs.7.5 crore (YoY). This was on the back of  a very strong growth in topline – net revenue rose 30% (YOY) at Rs.657 crore and other income doubled from Rs.3 crore to Rs.6 crore. Despite the 15% rise in total costs, EBITDA for the quarter came in at Rs.117 crore, up almost 3 times and margins showed an unbelievable doubling up from 8% to 17.8%.

Its equity stands at Rs.20.49 crore and EPS for the quarter is at Rs.2 (FV of Re.1).

The company currently has a cement capacity of 8 mtpa and post the acquisition of 74% stake in Bhilai Jaypee Cement for an Enterprise Value of Rs.1,450 crore, its capacity now stands at 10 mtpa. Its aim is to take the total capacity to 15 mtpa by 2020. It also took over the grinding unit of JP Power for Rs.496 crore.