Earnings | Dalmia Bharat Ltd. (NSE:DALBHARAT): Q3FY23 Results Out; Total Income rise 18% YoY

Dalmia Bharat Ltd. (NSE:DALBHARAT) is an Indian conglomerate company that operates in the cement, sugar, and other businesses. The company is one of the leading cement manufacturers in India with an annual capacity of 30 million tonnes. In addition, the company also operates in the sugar business with a production capacity of 250,000 tonnes per annum.

The company reported its financial result for Q3FY23 in which the company declared a YoY volume growth of 11.5% to 6.3 million metric tonnes (MnT) in Q3FY23. This increase in volume was primarily driven by strong demand in the Indian cement market, which is expected to continue due to the country’s position as the fastest-growing economy in the world. Revenue for the quarter increased by 22.7% YoY to Rs 3,355 crore, which was attributed to the increase in volume and stable cement prices. The company reported an EBITDA of Rs 644 crore, up by 57.5% YoY, and an EBITDA/T of Rs 1,022/T. This strong growth in EBITDA was primarily due to healthy volume growth and proactive cost containment measures taken by the company’s teams.

Dalmia Bharat also added a renewable power capacity of 25 MW during the quarter, which is in line with the company’s commitment to sustainability and reducing its carbon footprint. Net Debt/EBITDA stood at 0.39x, indicating a strong balance sheet and financial position. The company’s management expressed confidence in the company’s growth prospects and its ability to achieve its targets of becoming a Pan India Cement company with a total production capacity of 75Mnt by FY27 and 110-130Mnt by 2031.

Mr. Puneet Dalmia, Managing Director & CEO – Dalmia Bharat Limited, commented on the company’s performance, stating that “Sustaining the strong momentum, we delivered yet another quarter of solid all-round performance. Our consistent performance is driven by clarity of our vision, excellence in our processes & operations, and agility of our teams.” He added, “With India well positioned to be the fastest-growing economy in the world and the cement sector being the direct beneficiary of the same, I am excited about the opportunity that lies ahead of us.”