Shares of this small-cap company, which operates in cement, textiles, and software solutions, jumped nearly 3 percent on Monday after 1,73,000 shares representing 0.07 percent of the company’s equity were traded in a major block deal.
Price Movement
During Monday’s trading session, Ramco Cement Ltd‘s share price increased by 3 percent, reaching an intra-day high of Rs.977.45 per share, up from the previous close of Rs.944.95 apiece. The shares have retreated since then and are currently trading at Rs.967.75 per share.
What Happened
Ramco Industries has acquired 173,000 shares, representing 0.07% of its cement division, The Ramco Cements, for Rs.160.2 million, as per a filing made to the stock exchanges on Saturday.
On November 11, the company received approval from its board to invest up to Rs.1.60 billion in The Ramco Cements, either in a single transaction or multiple tranches, via the stock exchanges. To date, under this authorization, Ramco Industries has acquired a total of 466,600 shares, amounting to Rs. 41.95 crore
Product Portfolio
Ramco Cements offers a diverse product portfolio, including Ordinary Portland Cement (OPC), Portland Pozzolana Cement (PPC), Ready Mix Concrete (RMC), and Clinker. The company also manufactures dry mortar products such as tile adhesive and wall putty, catering to various construction and building needs.
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Manufacturing Facility
Ramco operates several cement plants across Tamil Nadu, Karnataka, and Andhra Pradesh, along with grinding units in West Bengal, Odisha, and other regions. The company also has a state-of-the-art Research and Development Centre in Chennai focused on driving innovation and enhancing product quality.
Shareholding Pattern
As of September 2024, the shareholding pattern of The Ramco Cements Ltd shows that promoters hold 42.29 percent stake, while Foreign Institutional Investors hold 6.61 percent. Domestic Institutional Investors and Retail Investors hold 30.87 percent and 3.39 percent, respectively.
Financial Performance
In its latest financial update, the company reported net sales of Rs.2,044 crore for Q2 FY25, indicating a 12.6 percent decrease from Rs.2,341 crore in Q2 FY24. However, profit after tax dipped to Rs.26 crore, down from Rs.72 crore during the same period.
About the Company
Founded in 1975 and headquartered in Chennai, Tamil Nadu, The Ramco Cements Limited is a major cement manufacturer in India, with an annual production capacity of 24 million tonnes. The company provides a wide array of products, including Ordinary Portland Cement and Ready Mix Concrete, with a strong focus on sustainability and quality.
Written by – Siddesh S Raskar
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