Why is Tokyo Cement Co. (Lanka) Plc ?
1
Poor long term growth as Net Sales has grown by an annual rate of 8.37% over the last 5 years
2
Flat results in Jun 25
- INTEREST COVERAGE RATIO(Q) Lowest at 417.97
- RAW MATERIAL COST(Y) Grown by 11.21% (YoY)
- OPERATING PROFIT(Q) Lowest at LKR 1,324.98 MM
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Building Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Tokyo Cement Co. (Lanka) Plc for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Tokyo Cement Co. (Lanka) Plc
59.93%
3.69
29.61%
Sri Lanka CSE All Share
60.36%
3.56
17.37%
Quality key factors
Factor
Value
Sales Growth (5y)
8.37%
EBIT Growth (5y)
-4.57%
EBIT to Interest (avg)
4.63
Debt to EBITDA (avg)
1.10
Net Debt to Equity (avg)
0.34
Sales to Capital Employed (avg)
1.22
Tax Ratio
27.45%
Dividend Payout Ratio
28.75%
Pledged Shares
0
Institutional Holding
0.10%
ROCE (avg)
19.04%
ROE (avg)
12.86%
Valuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
Price to Book Value
1.25
EV to EBIT
11.26
EV to EBITDA
7.88
EV to Capital Employed
1.19
EV to Sales
0.95
PEG Ratio
0.22
Dividend Yield
NA
ROCE (Latest)
10.56%
ROE (Latest)
11.15%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
Bearish
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Movement
1What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 35.28 %
-8What is not working for the Company
INTEREST COVERAGE RATIO(Q)
Lowest at 417.97
RAW MATERIAL COST(Y)
Grown by 11.21% (YoY
OPERATING PROFIT(Q)
Lowest at LKR 1,324.98 MM
OPERATING PROFIT MARGIN(Q)
Lowest at 10.56 %
PRE-TAX PROFIT(Q)
Lowest at LKR 856.62 MM
NET PROFIT(Q)
Lowest at LKR 669.49 MM
EPS(Q)
Lowest at LKR 1.52
Here's what is working for Tokyo Cement Co. (Lanka) Plc
Debt-Equity Ratio
Lowest at 35.28 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Depreciation
Highest at LKR 545.36 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (LKR MM)
Here's what is not working for Tokyo Cement Co. (Lanka) Plc
Interest Coverage Ratio
Lowest at 417.97
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Operating Profit
Lowest at LKR 1,324.98 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (LKR MM)
Operating Profit Margin
Lowest at 10.56 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at LKR 856.62 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (LKR MM)
Net Profit
Lowest at LKR 669.49 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (LKR MM)
EPS
Lowest at LKR 1.52
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (LKR)
Raw Material Cost
Grown by 11.21% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
Non Operating Income
Highest at LKR 0.46 MM
in the last five periodsMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating income






