Deccan Cements Limited is a prominent cement manufacturing company incorporated in July 1979, positioned as one of the largest cement companies in South India with over 30 years of manufacturing experience. The company operates across dual business segments through its Cement Division and Power Division, establishing itself as a comprehensive infrastructure solutions provider in the southern region of India.
The company is engaged in the manufacturing and selling of cement and production and selling of power from hydel and wind sources. In the domestic market, it operates through a network of dealers for sale of its products, ensuring widespread distribution across its operational territories. The company's registered office is located at Deccan Chambers 6-3-666/B, 3rd Floor Somajiguda, Hyderabad, Telangana-500082.
Deccan Cements has a market cap of ₹1,234 Crore, positioning it as a significant player in the cement sector. On 27 May, Deccan Cements approved FY25 audited results and recommended 12% final dividend, reflecting the company's commitment to shareholder returns.
The company's financial metrics reveal mixed performance indicators. The revenues of Deccan Cements stood at Rs 8,155 million in FY24, which was up 3.1% compared to Rs 7,908 million reported in FY23. However, the net profit stood at Rs 373 million in FY24, which was down 24.4% compared to Rs 493 million reported in FY23.
• FY24 Revenue: ₹8,155 million (up 3.1% YoY from FY23)
• FY24 Net Profit: ₹373 million (down 24.4% YoY from FY23)
• Operating Profit Margins (FY24): 9.7% (vs 12.4% in FY23)
• Net Profit Margins (FY24): 4.7% (vs 6.3% in FY23)
• Market Capitalization: ₹1,234 Crore (as of FY24)
• Promoter Holding: 56.25% (as of Mar 2025)
• Dividend Recommended: Re.0.60 (12%) per share for FY 2024-25
Deccan Cements offers a comprehensive range of cement products catering to various construction requirements. The company's product portfolio includes Ordinary Portland Cement (OPC) in three grades - OPC 33 Grade, OPC 43 Grade and OPC 53 Grade cements. Additionally, it manufactures Portland Pozzolana Cement (PPC), which is special blended cement used in construction work like hydraulic structures, marine works, mass concreting such as dams, dykes, retaining walls foundations and sewage pipes.
The company also produces Portland Slag Cement (PSC), a blended cement used in general civil engineering construction works and preferred for construction of main structures and in coastal areas. Furthermore, Deccan Cements manufactures specialty cements like 53-S Grade OPC, Rapid Hardening Cement, Sulphate Resistant Cement, High Alumina Cement, Oil Well Cement, which are modified Portland cement products designed for specific applications.
The company's Power Division includes thermal, hydel and wind plant projects, representing its commitment to renewable energy sources. The company has two non-conventional power plants - one is 2.025-megawatt (MW) capacity wind power project, and the other unit is a 3.75 MW Mini Hydel Project. Additionally, it has installed a 7.00 MW waste heat recovery power plant to generate energy from waste heat generated from the cement kiln.
The company's power generation initiatives demonstrate its integrated approach to operations, where the company has commissioned a captive-generation plant to meet nearly 65% of its total power requirement. It commissioned additional 1 million tonnes Cement expansion project along with an 18 MW Captive Thermal Power Plant in 2009.
The chairman of the company is P Parvathi, who also serves as the managing director. Bikram Keshari Prusty serves as the company secretary, while M Anandam & Co serves as the auditor for Deccan Cements Ltd. The company maintains strong corporate governance with promoter holding at 56.25% as of Mar 2025.
The 52-week high share price is Rs 928.90 and 52-week low share price is Rs 549.90. Deccan Cements Ltd has given a return of 15.75% in the last 3 years, indicating moderate long-term performance. The stock is traded on both NSE and BSE with the symbol DECCANCE and scrip code 502137 respectively.
Current valuation metrics show the P/E ratio of Deccan Cements Ltd is 136.67 times as on 12-Jun-2025, a 155% premium to its peers' median range of 53.59 times. As per Value Research classification, it is a Small Cap company.
The company has demonstrated consistent expansion efforts throughout its operational history. The company executed the expansion capacity of the cement division from 1,98,000 tonnes to 2,97,000 tonnes per annum in 1999-2000. The company commissioned Slag Cement Plant with a capacity of 3,00,000 TPA in 2002.
In renewable energy, the company commissioned 1650 KW Wind Mill in Tamil Nadu on 29th September, 2006, and again put up a 1500 KW Wind Mill in Tamil Nadu and commissioned it on 26th September, 2007. These expansion initiatives reflect the company's strategic focus on capacity enhancement and sustainable energy generation.
Deccan Cements continues to maintain its position as an established player in the South Indian cement market, leveraging its extensive experience and integrated business model to serve the growing infrastructure demands of the region.
