Market leader UltraTech Cement net profit grew 75% annually for the quarter ended September 30, on the back of improved sales and lower energy costs. Net profit for the quarter came in at Rs 1,232 crore as compared to Rs 703 crore in the same quarter last fiscal. Revenue for the quarter stood at Rs 19,371 crore, and was up 21.32% year on year.
Earnings before interest, taxation, depreciation and amortisation (EBITDA) at Rs 3,268 crore was, and up 45% annually. The cement firm’s operating EBITDA/Mt was up Rs 337/Mt annually at Rs 1,248/Mt. UltraTech’s consolidated sales volumes for the quarter came in at 33.85 million metric tonne, growing 6.9% year on year.
UltraTech achieved a growth of 22.3% in domestic grey cement without considering the sales volumes of India Cements and Kesoram in the previous year since they were not part of UltraTech during that period.
“The acquired assets of India Cements and Kesoram have generated an operating EBITDA of `386 per ton and `755 per ton respectively. Both the acquisitions are rapidly improving with 55% of Kesoram volumes and 31% of India Cements volumes already transitioned to the power of UltraTech brand,” the firm said in its earnings statement.
Sales realisation (revenue per metric tonne) for Q2FY26 was Rs 5,088 per metric tonne, up 4.5% annually, and down 1.4% from the preceding quarter.
Grey cement fuel and power cost were down 6% and 8% respectively year on year. Fuel cost came in at `893/metric tonne and power cost was Rs 372/metric tonne.
UltraTech’s domestic grey cement capacity is 186.86 mtpa, on a consolidated basis. Together with its overseas capacity of 5.4 mtpa, the Company’s global capacity stands at 192.26 mtpa.
UltraTech’s target capacity addition for FY26 is 14.1 mtpa, and target domestic capacity at the end of FY27 is 212.2 mtpa.
The firm announced its next phase of capacity expansion starting FY28. It said it will deploy Rs 10,255 crore for this phase of expansion to exit FY28 with a target capacity of 240.8 MTPA, resulting in capacity addition of 22.8 MPTA.
“This latest capacity expansion follows more than Rs 50,000 crores invested over the past five years, underscoring deep and sustained confidence in the Indian economy and the scale of its infrastructure ambitions. Capital, when deployed strategically, has a catalytic effect,” Kumar Mangalam Birla, chairman, Aditya Birla Group said.