Financial Analyst Summary: Shree Digvijay Cement Company Limited Q2 FY26 Results

Document Overview

This document represents the unaudited financial results submission for the quarter and half year ended September 30, 2025, filed with BSE Limited and National Stock Exchange of India Limited pursuant to Regulation 33 of SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015.

Key Financial Performance Highlights

Quarter Ended September 30, 2025 (Q2 FY26):

  • Sales Volume: 2.96 lakh tons (vs 2.83 lakh tons in Q2 FY25, +5% YoY)
  • Revenue from Operations: ₹16,134.61 lakh (vs ₹14,517.75 lakh in Q2 FY25, +11% YoY)
  • EBITDA: ₹2,048 lakh (vs ₹895 lakh in Q2 FY25, +129% YoY)
  • EBITDA Per Ton: ₹692 (vs ₹317 in Q2 FY25)
  • Profit Before Tax: ₹1,365 lakh (vs ₹74 lakh in Q2 FY25)
  • Profit After Tax: ₹1,023 lakh (vs ₹40 lakh in Q2 FY25)
  • Basic EPS: ₹0.69 (vs ₹0.03 in Q2 FY25)

Six Months Ended September 30, 2025 (H1 FY26):

  • Sales Volume: 6.55 lakh tons (vs 6.20 lakh tons in H1 FY25)
  • Revenue from Operations: ₹35,729.22 lakh (vs ₹32,200.69 lakh in H1 FY25)
  • EBITDA: ₹4,567 lakh (vs ₹3,269 lakh in H1 FY25)
  • Profit Before Tax: ₹3,217 lakh (vs ₹1,577 lakh in H1 FY25)
  • Profit After Tax: ₹2,402 lakh (vs ₹1,167 lakh in H1 FY25)
  • Basic EPS: ₹1.62 (vs ₹0.79 in H1 FY25)

Regulatory Compliance and Submission Details

  • Date of Communication: October 17, 2025
  • Nature of Submission: Regular quarterly results filing under SEBI Listing Regulations
  • Review Status: Financial results reviewed by Audit Committee and approved by Board of Directors on October 17, 2025
  • Auditor Review: Limited Review Report provided by M/s. BSR and Co., Chartered Accountants with unmodified conclusion
  • Compliance Reference: Regulation 33 of SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015
  • Publication: Extract of results to be published in newspapers and uploaded on company website (www.digvijaycement.com)

Significant Corporate Developments

1. Capacity Expansion:

  • The company has doubled its cement manufacturing capacity to 3.0 million tons per annum
  • New Cement Grinding Plant commissioned at Sikka effective October 1, 2025

2. Promoter Stake Sale:

  • True North Fund VI LLP (Promoter) entered into Share Purchase Agreement dated September 4, 2025
  • Agreement to sell up to 7,271,009 equity shares (50.10% stake) to India Resurgence Fund Scheme 1, India Resurgence Fund 2 Scheme 2, and India Resurgence Fund 2 Scheme 4
  • Transaction subject to receipt of statutory and regulatory approvals

3. Strategic Agreements with Hi-Bond Cement:

  • Board approved Distribution Agreement for exclusive long-term distribution of Hi-Bond cement products
  • Board approved Options Agreement with option to acquire 100% equity shares of Hi-Bond Cement
  • Company to provide refundable deposit of up to ₹400 crore to Hi-Bond, secured by exclusive first charge over assets, mortgage over property, and pledge over 100% equity shares

Segment Performance

  • Cement Business: Revenue ₹16,134.61 lakh (Q2 FY25: ₹14,516.56 lakh), Segment Result ₹1,427.79 lakh (Q2 FY25: ₹142.43 lakh)
  • Other Business (Logistics & Trading): Revenue minimal, Segment Result (₹0.50) lakh

Financial Position Highlights (Consolidated)

  • Total Assets: ₹67,710.89 lakh (vs ₹69,493.83 lakh as of March 31, 2025)
  • Total Equity: ₹36,549.36 lakh
  • Non-Current Liabilities: ₹13,372.62 lakh
  • Current Liabilities: ₹17,788.91 lakh
  • Net Capital Employed: ₹36,549.36 lakh

Cash Flow Analysis (Six Months Ended September 30, 2025)

  • Operating Activities: Net cash used ₹5,289.17 lakh
  • Investing Activities: Net cash used ₹59.24 lakh
  • Financing Activities: Net cash generated ₹963.74 lakh
  • Net Decrease in Cash: ₹4,384.67 lakh
  • Cash & Equivalents at End: ₹530.73 lakh

Additional Information

  • Paid-up Equity Share Capital: ₹14,787.00 lakh (Face value ₹10 per share)
  • Reserves (Other Equity): ₹21,762.36 lakh
  • The company has one reportable segment at standalone level (cement manufacturing) and two reportable segments at group level (cement and other business)

Topic Tags: Financial Results, Capacity Expansion, Stake Sale, Strategic Agreements, Regulatory Compliance, Cement Industry, Manufacturing Growth

Note: All financial figures in Indian Rupees lakhs. Results are unaudited and subject to limited review by statutory auditors.