Ramco Industries has received reaffirmation in credit rating at ICRA AA-; Stable / ICRA A1+ for Rs 500 crore line of credit of the company. Further, the company has been assigned the rating ICRA AA-; Stable for proposed non convertible debentures of Rs 160 crore. Powered by Capital Market - Live

CRISIL Ratings stated that the The revenue improved by 11% to Rs 896 crore in the first half of fiscal 2025 from Rs 803 crore in the second half of fiscal 2024. The growth was driven by 4% increase in the building products segment with major contribution from its subsidiary and steep increase in sales of the textile segment to satisfy commitments under advance license scheme for import of raw materials. Operating margin improved to ~11% in the first half of fiscal 2025 from 10.32% in the first half of fiscal 2024 because of better realisation from the boards segment and increased revenue share in overall revenue besides recovery in the cotton-yarn spread. Demand for asbestos will likely remain steady with increase in rural income over the near-to-medium term and increased government push towards rural housing. The board business is likely to fare well due to healthy demand, while the textile business segment will benefit from better export. These factors are expected to contribute to revenue growth of 10-12% over the medium term. The operating margin is expected to remain stable at 10-11% mainly due to intense competition from substitute products and pricing competition from peers, which will likely be partially offset by stable asbestos fibre cost. RIL has planned to invest Rs 200 crore in fiscal 2026 to set up a board plant in Madhya Pradesh and is expected to avail debt of Rs 150 crore for the project, which was delayed due to requisite approvals and uncertain market conditions. However, with improving demand for board, the company will likely complete the planned capital expenditure (capex) by fiscal 2026, while revenue generation will commence from fiscal 2027. The project will increase board capacity by 40-50%. Nevertheless, the financial risk profile will likely remain healthy post factoring additional project debt of Rs 150 crore due to existing low debt on its balance sheet. The rating continues to reflect the established position of the company in the domestic asbestos cement (AC) sheet (ACS) roofing market, its strong presence in the Sri Lankan market and a healthy revenue diversity through presence in textiles, calcium silicate board and wind power. The rating also considers the company's healthy operating efficiency and strong financial risk profile, driven by steady cash accrual, prudent working capital management and moderate expansion plans. The significant value of investments in the listed Ramco group companies, including RCL, supports RIL's financial flexibility. These strengths are partially offset by high dependence of the AC roofing business on rural spending, availability and pricing of key raw material (asbestos fibre), exposure to intense competition from peers as well as from substitute steel products. The company is also exposed to regulatory risks on the manufacture and use of asbestos as well as change in policies of key asbestos-producing nations, given that India imports its entire asbestos requirement. Ramco Industries manufactures AC roofing sheets in India and Sri Lanka. The company also manufactures calcium silicate board in the building products division and sells cotton yarn of 4-300s counts. It has 10 manufacturing facilities across India for the building products division, one facility in Rajapalayam, Tamil Nadu, for manufacture of cotton yarn, and windmills in Tamil Nadu, Karnataka and Gujarat. For the first half of fiscal 2025, RIL, on consolidated basis, reported profit after tax (PAT) of Rs 49 crore (Rs 40 crore in the corresponding period of fiscal 2024) on net revenue of Rs 896 crore (Rs 803 crore). The scrip had advanced 1.27% to end at Rs 311.15 on the BSE today. Powered by Capital Market - Live

Ramco Industries has acquired 1.73 lakh equity shares of The Ramco Cements for a consideration of Rs 16.02 crore. Powered by Capital Market - Live

Ramco Industries has acquired 4,66,600 shares of The Ramco Cements for a consideration of Rs.41.95 crore. The Board of Ramco Industries at its meeting held on 11 November 2024 had approved investment of up to Rs 160 crore in The Ramco Cements in one or more tranches. Powered by Capital Market - Live

The Board of Ramco Industries at its meeting held on 11 November 2024 has approved investment by purchase of shares of The Ramco Cement, for a value up to Rs 160 crore in one or more tranches, through stock exchanges. The board also approved raising credit facilities from Banks/ Mutual Funds/ NBFCs by way of Secured, Rated, Redeemable, Non-Convertible Debentures/ term loan or any other borrowing mode asrequired/ stipulated by Banks/ Mutual Funds / NBFCs upto an amount not exceeding Rs.160 crore in one or more tranches, for corporate requirements and for funding the above investment. Powered by Capital Market - Live

Net profit of Ramco Industries reported to Rs 16.88 crore in the quarter ended September 2024 as against net loss of Rs 4.15 crore during the previous quarter ended September 2023. Sales rose 11.49% to Rs 349.13 crore in the quarter ended September 2024 as against Rs 313.16 crore during the previous quarter ended September 2023. ParticularsQuarter EndedSep. 2024Sep. 2023% Var. Sales349.13313.16 11 OPM %11.889.34 - PBDT41.5226.68 56 PBT32.5517.50 86 NP16.88-4.15 LP Powered by Capital Market - Live

Revenue from operations jumped 11.83% YoY to Rs 353.17 crore during the quarter. Profit before exceptional items and tax was spiked 86% to Rs 32.55 crore in Q2 FY25 as compared with Rs 17.50 crore in Q2 FY24. Total expenses rose by 7.41% to Rs 323.79 crore in Q2 FY25 as compared with Rs 301.44 crore posted in Q2 FY24. Cost of material consumed was at Rs 232.69 crore (up 20.3% YoY) and employee benefits expense stood at Rs 41.85 crore (up 19.85% YoY) during the quarter. On half year basis, the company's net profit rallied 58.92% to Rs 56.29 crore on 11.65% increased in revenue from operations to Rs 896.33 crore in H1 FY25 over H1 FY24. Meanwhile, the company's board approved investment by purchase of shares of The Ramco Cements for a value upto Rs 160 crore in one or more tranches. Further, the company board also approved raising of credit facilities from Banks/ Mutual Funds/ NBFCs by way of secured, rated, redeemable, non-convertible debentures/ term loan or any other borrowing mode as required/ stipulated by banks/ mutual funds / NBFCs upto an amount not exceeding Rs 160 crore in one or more tranches, for corporate requirements and for funding the above investment. Ramco Industries (RIL) is a part of the Chennai-based Ramco Group and is primarily involved in the manufacture of asbestos-based FC sheets, which find application as a roofing material. Apart from FC sheets, RIL is involved in the spinning of cotton yarn and manufacturing of calcium silicate boards. RIL has a 100% subsidiary in Sri Lanka named Sri Ramco Lanka (Private) Limited, which is involved in manufacturing and marketing FC sheets in the country. The Ramco Group of companies has interests in cement, FC sheets, textiles and information technology. The counter hit a 52-week high of Rs 293.95 on the BSE.Powered by Capital Market - Live

Ramco Industries will hold a meeting of the Board of Directors of the Company on 11 November 2024Powered by Capital Market - Live

Net profit of Ramco Industries declined 0.40% to Rs 39.41 crore in the quarter ended June 2024 as against Rs 39.57 crore during the previous quarter ended June 2023. Sales rose 11.70% to Rs 540.30 crore in the quarter ended June 2024 as against Rs 483.70 crore during the previous quarter ended June 2023. ParticularsQuarter EndedJun. 2024Jun. 2023% Var. Sales540.30483.70 12 OPM %10.5211.08 - PBDT55.7351.70 8 PBT46.9242.74 10 NP39.4139.57 0 Powered by Capital Market - Live