Dalmia Bharat shares drop despite 76% rise in net profit in Q1FY17

Cement major, Dalmia Bharat shares slipped by over 1% despite the company reported 76% rise in consolidated net profit.

The shares of the company closed at Rs 1430.45 per piece, down by 0.88% on BSE. It hit a high at Rs 1445 and low at Rs 1386.45.

On Wednesday, the company posted a net profit of Rs 92 crore for the quarter ended on June 30 as against the net profit of Rs 53 crore for the quarter ended on June 30, 2015.

The total income from operations increased to Rs 1777.47 crore in Q1FY17 as compared to Rs 1609.31 crore in Q1FY16.

The EBITDA margin rose to 29% from 25% year-on-year basis. Numerical terms, the EBITDA increased from Rs 396 crore in June 2015 to Rs 508 crore in June 2016. 

The company has launched super-premium cement 'Dalmia DSP' in Eastern region to strengthen product portfolio. 

Reportedly, the company had said, "We expect cement demand to gain momentum supported by good monsoon, implementation of seventh pay commission recommendations and focused thrust by Government on infrastructure development and housing. We are well positioned to participate in the expected increase in cement demand with our existing and recently commissioned capacities. The company is confident to maintain market leadership through constant innovations".