Saurashtra Cement Limited (SCL) was promoted in 1956, initially set up to manufacture cement using the semi-dry process. In 1960, the Mehta group, headed by Nanji Kalidas Mehta, invested Rs 50 lac in SCL. The company's main manufacturing plant is strategically located at Ranavav, Gujarat.
The company has a remarkable turnaround story in Indian industry. SCL was the first BIFR (Board for Industrial and Financial Reconstruction) case to be successfully turned around without requiring any rehabilitation package or assistance. The company enjoys a significant market share of 23% in Gujarat. SCL is part of the Mehta Group, which also has another cement and building materials company called Gujarat Sidhee Cement Limited.
Saurashtra Cement Limited is engaged in the manufacturing and selling of cement, marketed under the brand name 'HATHI'. Saurashtra Cement Limited is an ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certified company. It manufactures various types of cement and clinker, including:
- Ordinary Portland Cement (OPC 53 grade, 43 grade)
- Portland Pozzolana Cement (PPC)
- Portland Slag Cement (PSC)
- Sulphate Resistant Portland Cement (SRPC) for specific applications.
The products are marketed in 50 kg HDPE/PP/paper bags, in bowsers, and in jumbo bags (1 MT) as per user needs.
The "Snowcem" Paint business was transferred to the "Paint Division" of Saurashtra Cement Limited (SCL) on a slump sale basis, effective from May 1, 2021. Snowcem was the first company in India to introduce "Cement Paints" for exterior use. Saurashtra Cement Limited also launched white cement-based Hathi Putty, formulated to give a superior finish to walls.
The market capitalization of Saurashtra Cement Ltd (SAURASHCEM) stood at ₹894.35 Crore as of March 25, 2025.
- Q4 FY2024-25 Performance: Net profit jumped 5.89% year-on-year to ₹32.91 Crore. Revenue for Q4 FY25 was ₹478.05 Crore.
- FY 2023-24 Performance: The company reported consolidated revenue from operations of INR 17.65 billion, up from INR 16.45 billion (a 7% YoY increase). EBITDA for the year was INR 1.2 billion, compared to INR 572 million in FY22-23 (a 77.1% YoY increase). Net profit before tax recorded INR 565 million, an 88% YoY increase.
- Q3 FY2024-25 Challenges: The company reported a net loss of Rs 4.36 crore for the quarter ended December 2024, a decline from a net profit of Rs 12.57 crore in the same quarter of the previous year. Sales also declined by 15.49% to Rs 377.50 crore in Q3 FY25 compared to Rs 446.69 crore in Q3 FY24.
- Promoter Holding: Promoter holding in Saurashtra Cement Ltd was 66.71% as of March 2025, a slight decrease from 66.89% as of June 2024.
- Key Personnel Changes: Virendra Raj Mohnot retired as Chief Financial Officer on September 8, 2024. Pradeep Mehta was appointed as the new Chief Financial Officer (CFO) and Key Managerial Personnel effective September 9, 2024.
- Blended cement sales growth was higher than overall sales growth.
- Clinker production increased by 9% year-on-year due to improved throughput at both plants.
- Cement production advanced by 8% compared to the previous year.
- SCL is a recognized Export House and has won the Indian cement industry's prestigious national award for 'Energy Efficiency.'
The company is the largest exporter of cement clinker to West Asia, holding a market share of 33%. Saurashtra Cement Ltd exports its products to various markets, including Africa, Middle Eastern countries, Sri Lanka, and others, establishing itself as a significant player in international cement trade, particularly in the clinker segment.
The company anticipates demand growth to be fueled by India's housing market, which accounts for 60-65% of cement consumption. Investments in infrastructure are expected to continue, with minor fluctuations possible during election periods. Saurashtra Cement predicts consumption to grow at 6-7% annually for the next four to five years.
