The Ramco Cements Reports Negative Financial Performance in Q1 2024

The Ramco Cements, a midcap cement company, has recently announced its financial results for the quarter ending June 2024. According to the latest report, the company has seen a negative financial performance with a score of -11, a significant drop from -2 in the last three months.

Despite this, there are some positive aspects to the company's financials. The Ramco Cements has shown a strong operating cash flow annually, with the highest amount of Rs 1,905.53 crore and a consistent growth in the last three years. Additionally, the company has a high dividend payout ratio of 16.41%, indicating that it is distributing a higher proportion of its profits as dividends.

However, there are also some concerning factors in the financial report. The profit before tax (PBT) has fallen by -60.70% year on year, and the profit after tax (PAT) has also seen a decline of -50.1% year on year. The company's ability to manage interest payments has also deteriorated, with the operating profit to interest ratio at its lowest in the last five quarters. Furthermore, the net sales have also decreased by -6.82% year on year, and the operating profit has seen a decline in the last five quarters.

The Ramco Cements' earnings per share (EPS) have also decreased, indicating a decline in profitability and lower earnings for shareholders. Additionally, the company's debtors turnover ratio has slowed down, with the lowest ratio of 10.96 times in the last five half-yearly periods.

In conclusion, while The Ramco Cements has shown some positive aspects in its financial report, there are also some concerning factors that investors should take into consideration. MarketsMOJO has given a 'Sell' call for the company's stock based on its financial performance in the quarter ending June 2024.