Somany Ceramics posts better than expected results

Somany Ceramics, has posted better than expected results. In Q1FY17, total income from operation has increased by 5 per cent and stands at Rs 413.85 crores. EBITDA stands at Rs 60.6 crores and has increased by 153 per cent as compared to Q1FY16.

Company has posted remarkable profits this quarter. Net profits stand at 17.9 crores in this quarter which has increased by 71 per cent as compared to the corresponding quarter of the previous fiscal. Its overall expenses stand at Rs 386.14 crore, up 3.14 per cent, compared with Rs 374.38 crore in Q1FY16.

On July 29, the shares opened positive and as at 11.20 am are trading at Rs 603, up by 0.50 per cent. The shares in the last 3 months, have given a return of 11 per cent. However, in the last 6 months the shares have risen by 66 per cent. Shares' 52-week High/Low stand at Rs 647.90/303.50.

Anti-Dumping duty has benefitted industry as the imports from China have reduced, though the imports have not been completely eliminated. Implementation of GST and better monsoons in India are likely to boost demand prospects for the Industry. Expansion of Kassar plant (Bahadurgarh) in the very first quarter, after its commencement has enhanced Company’s value added product mix further.

Somany Ceramics Ltd., is an Indian tiles company. The company manufactures and markets ceramic glazed tiles, vitrified tiles, porcelain floor tiles. The business activity of company falls within a single segment ceramic tiles and allied products.