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Shyam Metalics Q3 Results: Profit Rises 55% But Misses Estimates

Shyam Metalics also approved an interim dividend of Rs 2.25 per share for the current financial year.

<div class="paragraphs"><p>Shyam Metalics and Energy Ltd. reported a rise in consolidated net profit in the third quarter of financial year 2025, but fell short of analysts' estimates (Photo source: company)</p></div>
Shyam Metalics and Energy Ltd. reported a rise in consolidated net profit in the third quarter of financial year 2025, but fell short of analysts' estimates (Photo source: company)

Shyam Metalics and Energy Ltd. reported a rise in consolidated net profit in the third quarter of financial year 2025, but fell short of analysts' estimates.

The steel producer saw its net profit rise 55% on an annual basis to Rs 197 crore in the quarter ended December. This compares to the Rs 252-crore consensus estimate of Bloomberg analysts.

Shyam Metalics Q3 FY25 Highlights (Consolidated, YoY)

  • Revenue up 13% to Rs 3,752 crore versus Rs 3,315 crore. (Estimate Rs 3,720 crore)

  • Ebitda up 12% to Rs 456 crore versus Rs 408 crore.

  • Ebitda margin contracts 15 bps to 12.15% versus 12.3%.

  • Net profit up 55% to Rs 197 crore versus Rs 127 crore. (Estimate Rs 252 crore)

The company considered and approved the payment of interim dividend of Rs 2.25 per equity share, being 22.50% of the face value of Rs 10 each, for the financial year 2024-25.

The record date for the purpose of determining entitlement of the members for the payment of interim dividend shall be Feb. 7.

Per Tonne Realisation

Per-tonne realisations refer to the revenue or income a metal company earns per tonne of metal sold.

Key highlights for Per-Tonne Realisations (Product-Wise Details) for Q3 FY25:

  • Speciality Alloys: Realisation stood at Rs 95,234, a marginal decline of 0.2% YoY and a drop of 4.6% QoQ.

  • Carbon Steel: Realisation was Rs 43,684, a decline of 5.7% YoY but a slight increase of 1.1% QoQ.

  • Sponge Iron: Realisation stood at Rs 25,315, falling 5.4% YoY but growing 4.2% QoQ.

  • Iron Pellets: Realisation was Rs 8,683, decreasing 3.5% YoY but increasing 6.9% QoQ.

  • Aluminium: Aluminium realisations rose sharply by 10.7% YoY in Q3 FY25, standing at Rs 3.49 lakh. It showed a minimal QoQ increase of 0.6%.

  • Stainless Steel: Realisation stood at Rs 1.28 lakh, marking an increase of 5.5% YoY but a decline of 7.2% QoQ.

    Aluminium and stainless steel categories showed a strong annual growth, while others saw declines due to market conditions.

Key Insights

  • Strong growth was observed in speciality alloys, stainless steel and aluminum, driven by higher demand or enhanced production capabilities.

  • Iron pellets and sponge iron volumes declined, reflecting potential market challenges or lower operational efficiency.

  • Steel products saw moderate overall growth, led primarily by the rise in carbon steel volumes.

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