Sarda Energy & Minerals Ltd – Financial Overview Report

• Company Profile: Sarda Energy & Minerals Ltd is a vertically integrated steel and ferro alloys producer with captive iron ore and thermal coal mines, focusing on cost efficiency. • Market Cap: Approximately ₹8,200 crore, indicating a mid-cap company. • Stock Price: Around ₹2,250 per share (as of latest update). • Revenue (FY24): ₹4,123 crore, showing a moderate growth compared to previous year. • Net Profit (FY24): ₹705 crore, indicating strong profitability and efficient cost management. • EBITDA Margin: Healthy at approximately 27%, reflecting strong operational efficiency. • Return on Equity (ROE): Around 18%, showing good return generation from shareholders’ funds. • Debt to Equity Ratio: Low at around 0.20, indicating a strong balance sheet with low leverage. • Promoter Holding: Approximately 72.64%, reflecting strong promoter confidence and control. • Dividend Yield: Around 0.97%, indicating regular dividend payouts. • Price to Earnings (P/E) Ratio: Roughly 11.5x, suggesting the stock is moderately valued compared to industry peers. • Book Value: Close to ₹900, meaning the stock is trading at around 2.5 times its book value. • Growth Drivers: • Integrated operations across mining, power, and steel enhance margin control. • Access to captive resources reduces dependency on external sourcing. • Demand from infrastructure and industrial sectors supports future growth. • Risks: • Cyclical nature of steel and ferro alloy industries. • Price volatility in raw materials and finished products. • Regulatory risks related to mining and environment.