Shree Cement shares slipped more than 2% in early morning trade after the company reported its Q3 consolidated earnings, as pressure on operating margins outweighed the strong year-on-year growth in net profit. The stock opened lower and remained volatile in initial deals, reflecting cautious investor sentiment following the earnings announcement.
For the December quarter, Shree Cement reported consolidated revenue of Rs 4,801 crore, marking a 5.0% increase compared with Rs 4,573 crore in the same period last year. Despite steady revenue growth, profitability at the operating level came under pressure. EBITDA declined by 1.8% year-on-year to Rs 947 crore from Rs 965 crore, while EBITDA margin narrowed sharply by 140 basis points to 19.7% versus 21.1% a year ago.
Net profit, however, showed a strong improvement. Shree Cement posted a consolidated net profit of Rs 267 crore, up 37.9% year-on-year from Rs 193 crore.
In early trading, Shree Cement shares moved within a wide range. The stock touched a low of Rs 26,600 and a high of Rs 26,970 during the session. It opened at Rs 26,685, significantly below the previous close of Rs 27,330, indicating a negative opening reaction to the results. On a longer-term basis, the stock’s 52-week low stands at Rs 25,360, while the 52-week high is Rs 32,490.
