NMDC(NSE: NMDC) released its results for the December quarter. Profits for the company have increased by more than 62 percent.
However, the figure has been somewhat less than market expectations. There has also been a sharp jump in income and EBITDA as compared to last year.
Both income and EBITDA have been better than market estimates. The company has also announced to give dividends to its investors.
The stock closed at the level of 235 on Wednesday. Results have been released after the market closed.
The effect of the results can be seen on Thursday.
How Were The Quarterly Results?
The company’s quarterly profit was Rs 1469.7 crore, an increase of 62.6 percent compared to last year.
Whereas the income increased by 45.4 percent compared to last year and reached Rs 5409.9 crore.
EBITDA has increased by 76 percent to Rs 2007 crore. Margin stood at 37.1 percent during the quarter, which was 30.7 percent a year ago.
How Was The Performance Compared To Expectations?
The company’s profit was estimated to be Rs 1512 crore, however, the result was 2.8 percent less than expected.
Revenue was 2.9 percent more than market estimates. EBITDA was also 8.8 percent higher than the estimate.
The market had estimated that the margin would be 35.1 percent in the December quarter, however, the margin in the results was 37.1 percent.
Declaration Of Dividend
The company has informed that the board has approved the first interim dividend of Rs 5.75 per share. The company set the record dividend date as 27 February 2024.
About NMDC Ltd Company
National Mineral Development Corporation (NMDC) Ltd is engaged in mining a wide range of minerals, including ferro ore, copper, sponge iron rock phosphate dolomite bentonite, limestone, gypsum diamonds, and tungsten.
It also mines in graphite and the beach Sands. It is a Navratna public sector business which is an element of the Ministry of Steel.
It is a producer of iron ore in three mines: the Bailadila deposit (Chhattisgarh State) and the Donimalai iron ore mines (Karnataka State).
It is the operator of and owns mechanized mines for iron located in Chhattisgarh and Karnataka and also the headquarters of the company at Hyderabad, Telangana.
It also runs one of the automated diamond mines located in India situated at Panna, Madhya Pradesh.
Fundamental Analysis of NMDC Ltd
| Market Cap | ₹ 69,030 Cr. |
| Current Price | ₹ 236 |
| 52-wk High | ₹ 247 |
| 52-wk Low | ₹ 104 |
| Stock P/E | 12.0 |
| Book Value | ₹ 83.6 |
| Dividend | 2.80% |
| ROCE | 30.2 % |
| ROE | 23.0 % |
| Face Value | ₹ 1.00 |
| P/B Value | 2.82 |
| OPM | 35.6 % |
| EPS | ₹22.0 |
| Debt | ₹ 2,143 Cr. |
| Debt to Equity | 0.09 |
NMDC Ltd Share Price Target 2024 To 2030
| Year | 1st Target | 2nd Target |
| 2024 | ₹255 | ₹273 |
| 2025 | ₹287 | ₹323 |
| 2026 | ₹343 | ₹376 |
| 2027 | ₹389 | ₹400 |
| 2028 | ₹412 | ₹432 |
| 2029 | ₹454 | ₹476 |
| 2030 | ₹500 | ₹587 |
NMDC Ltd Shareholding Pattern
| Promoters Holding | |
| Dec 2022 | 60.79% |
| Mar 2023 | 60.79% |
| June 2023 | 60.79% |
| Sept 2023 | 60.79% |
| Dec 2023 | 60.79% |
| FII Holding | |
| Dec 2022 | 6.60% |
| Mar 2023 | 7.33% |
| June 2023 | 6.99% |
| Sept 2023 | 8.32% |
| Dec 2023 | 9.91% |
| DII Holding | |
| Dec 2022 | 20.23% |
| Mar 2023 | 19.39% |
| June 2023 | 18.00% |
| Sept 2023 | 17.73% |
| Dec 2023 | 17.33% |
| Govt. Holding | |
| Dec 2022 | 0.00% |
| Mar 2023 | 0.00% |
| June 2023 | 0.00% |
| Sept 2023 | 0.00% |
| Dec 2023 | 0.00% |
| Public Holding | |
| Dec 2022 | 12.34% |
| Mar 2023 | 12.47% |
| June 2023 | 12.20% |
| Sept 2023 | 14.16% |
| Dec 2023 | 11.96% |
NMDC Ltd Share: Last 5 Years’ Financial Condition
To gain a better understanding of how the market is performing, let’s look at the outlook of this share in the previous years.
However, investors should be aware of the risks and the market conditions before making any investment decision.
Last 5 Years’ Sales:
| 2019 | ₹ 12,153 Cr |
| 2020 | ₹ 11,699 Cr |
| 2021 | ₹ 15,370 Cr |
| 2022 | ₹ 25,965 Cr |
| 2023 | ₹ 20,670 Cr |
Last 5 Years’ Net Profit:
| 2019 | ₹ 4,617 Cr |
| 2020 | ₹ 3,573 Cr |
| 2021 | ₹ 6,277 Cr |
| 2022 | ₹ 9,429 Cr |
| 2023 | ₹ 6,433 Cr |
Last 5 Years’ Debt-To-Equity Ratio:
| 2019 | 0.01 |
| 2020 | 0.02 |
| 2021 | 0.07 |
| 2022 | 0.1 |
| 2023 | 0.02 |
Last 10 Years’ Profit Growth:
| 10 Years: | -3% |
| 5 Years: | 5% |
| 3 Years: | 9% |
| Current Year: | 11% |
Last 10 years’ Return on Equity (ROE):
| 10 Years: | 19% |
| 5 Years: | 23% |
| 3 Years: | 28% |
| Last Year: | 23% |
Sales Growth Over 10 Years:
| 10 Years: | 5% |
| 5 Years: | 9% |
| 3 Years: | 15% |
| Current Year: | 11% |
Company’s Positive Signs:
- The company is nearly debt-free.
- The company has a great performance in terms of return on equity (ROE) history 3 years 27.9%.
- The company has maintained an excellent dividend payout of 38.9 percent.
Company’s Negative Signs:
- The company has had the lowest sales growth rate of 8.75 percent over the past five years.
- The company’s earnings are based on an additional earnings that is Rs.2,048 Cr.
- The company’s promoter holding has decreased in the past 3 seasons: -8.86%.
- The company’s working capital day has gone up from 58.6 days to 100 days.
Conclusion
This article is a complete guide about NMDC Ltd Share.
These information and forecasts are based on our analysis, research, company fundamentals and history, experiences, and various technical analyses.
Also, We have talked in detail about the share’s future prospects and growth potential.
Hopefully, these informations will help you in your further investment.
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