Cement stock engaged in offering a diversified range of products such as cement, Ready-mix Concrete (RMX), and modern building materials in focus upon being declared preferential bidder for 3 limestone blocks in Rajasthan.
Price Action
With a market capitalization of Rs. 12,680 Crores, the shares of Nuvoco Vistas Corporation Limited were trading at Rs. 355 per equity share, up 1.2 percent from its previous day’s close price of Rs. 350.80.
What Happened
Nuvoco Vistas Corporation Limited, has been declared the preferred bidder by the Government of Rajasthan, for three significant limestone blocks (NB-01, NB-02, NB-03) located at Nimbol, Tehsil Jaitaran, District Beawar, Rajasthan.
The limestone blocks cover 41.37 hectares, have limestone resources estimated at 28.43 million tons, and are located near the company’s cement manufacturing facilities in Nimbol Rajasthan, providing a strategic advantage. By having access to these deposits, the long-term sustainability of its operations can be ensured through increased limestone availability.
Management Message
Mr. Jayakumar Krishnaswamy, Managing Director, Nuvoco Vistas Corp. Ltd., commented, “By acquiring these limestone blocks, the Company ensures access to high-quality resources to strengthen its operations.
This strategic move will boost our production capabilities, allowing us to more effectively meet the increasing demands of the cement industry. It reinforces our commitment to maintaining our position as a leading building materials company while driving excellence and sustained growth.”
About the Company
Nuvoco Vista Corporation Limited is the 5th largest cement companies and concrete manufacturer in India with a consolidated capacity of 25 MMT. It offers a diversified range of products such as cement, Ready-mix Concrete (RMX), and modern building materials i.e. adhesives, wall putty, dry plaster, cover blocks, and more.
Financials and Ratios
Its revenue from operations declined by 6.02 percent from Rs. 2,805.50 Crores in Q1FY24 to Rs. 2,636.48 Crores in Q1FY25, accompanied by profits of Rs. 14.46 Crores to Rs. 2.84 Crores.
In terms of Return ratios, it has delivered a return on equity (ROE) of 1.61 percent and a return on capital employed (ROCE) of 5.42 percent. It has maintained a debt-to-equity ratio of 0.49.
Written by: Bharath K.S
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