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Time of India
19-05-2025
- Business
- Time of India
Large cement makers report volume growth in Q4 2025
NEW DELHI: Large cement companies have reported a volume growth in the March 2025 quarter and expect enhanced performance in FY26 on better sales realisation and stable demand. Leading listed cement firms like UltraTech, Ambuja Cements , ACC , Shree Cements , and Dalmia Bharat have retained around 7 to 7.5 per cent growth for the cement industry in FY26, following government spending on infrastructure projects and rural recovery. However, they are cautious about the geopolitical tensions and changing trade landscape. In the March quarter, cement makers reported gains in volumes, ranging from 3.5 to 10 per cent and an enhanced capacity utilisation on a year-on-year basis. However, their topline numbers continue to face challenges on account of lower year-on-year sales realisation, though input costs for coal, petcoke and diesel were significantly cheaper. The all-India average cement price was around Rs 350 per 50 kg bag in March 2025. Overall, in FY25, cement prices declined by 7 per cent year-on-year to Rs 340/bag. In FY24, the average prices stood at Rs 365/bag against Rs 375/bag in FY23, according to an Icra report. The rating agency expects an improvement in operating margins for the cement companies in FY26, helped by tailwinds, as a marginal hike in cement prices and stable input costs. The cement industry, which is witnessing consolidation where two large makers are snapping the small companies in the quest for inorganic growth, saw a lower sales realisation due to falling prices. In Q4, UltraTech's consolidated sales volumes reached 41.02 Million Tonnes (MT), and for the entire fiscal 2024-25, it achieved the highest sales volumes of 135.83 million metric tonnes for the year, helped by acquisitions and ongoing expansions. Q4 FY25 and April saw some improvement in prices, said the top management of the Aditya Birla group flagship firm in a post-earnings call. "We believe that this quarter, cement demand overall for the country would have grown around 4 per cent. And in that backdrop, UltraTech has done close to 10 per cent volume growth," its CFO Atul Daga said. Similarly, Ambuja Cements, the second-largest cement manufacturer of the country, reported a consolidated sales of 18.7 million tonnes in the March quarter, which was the "highest ever volume in a quarter" for the company. In FY25, Ambuja Cements' total consolidated income was Rs 37,649.01 crore. The company, which also owns ACC, Sanghi Industries and Penna Industries, crossed 100 million tonnes per annum (MTPA ) capacity and with more expansions in the pipelines, it aims 118 MTPA by the end of FY26. Bangur family promoted Shree Cement, the third-largest cement group by capacity, though it reported a decline of 14.9 per cent in its consolidated net profit to Rs 575 crore for the March quarter, its revenue rose 2.42 per cent to Rs 5,532.02 crore. In the March quarter, Shree Cements' total sales volume was 9.84 million tonnes (MT), which, according to the company, is the "highest" quarterly volume achieved by it. Shree Cements also reported a higher growth coming from the premium segment and expects this trend to continue in FY26. The company expects the cement industry to achieve 6.5-7.5 per cent demand growth, fuelled by infra projects, rural recovery and real estate momentum in FY26, though external challenges in terms of geopolitical conflicts and trade barriers by key economies will persist. Dalmia Bharat also reported an increase in sales volume by 2.8 per cent to 8.6 MT, though its revenue from operations slipped 5 per cent to Rs 4,091 crore in the March quarter on account of softening prices. South-based India Cements Ltd (ICL), now an Aditya Birla Group firm, has reported a net profit of Rs 14.68 crore after several quarters, though its revenue from operations was down 3.11 per cent to Rs 1197.30 crore. MP Birla Group firm Birla Corporation has reported an increase of 32.7 per cent in its net profit to Rs 256.6 crore for the March quarter, and its revenue was up 6 per cent at Rs 2,814.91 crore. Orient Cement, now owned by Adani Group's Ambuja Cement, has reported a decline of 38.3 per cent in its net profit to Rs 42.07 crore. The revenue of the cement maker, earlier owned by the CK Birla group, declined 7.07 per cent to Rs 825.18 crore in the March quarter. According to UltraTech, in FY25, the cement industry ended with a capacity of about 655 MT, up from 625 MT a year ago.
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Business Standard
18-05-2025
- Business
- Business Standard
Cement majors post Q4 volume growth, expect to continue momentum in FY26
Large cement companies have reported a volume growth in the March 2025 quarter and expect enhanced performance in FY26 on better sales realisation and stable demand. Leading listed cement firms like UltraTech, Ambuja Cements, ACC, Shree Cements, and Dalmia Bharat have retained around 7 to 7.5 per cent growth for the cement industry in FY26, following government spending on infrastructure projects and rural recovery. However, they are cautious about the geopolitical tensions and changing trade landscape. In the March quarter, cement makers reported gains in volumes, ranging from 3.5 to 10 per cent and an enhanced capacity utilisation on a year-on-year basis. However, their topline numbers continue to face challenges on account of lower year-on-year sales realisation, though input costs for coal, petcoke and diesel were significantly cheaper. The all-India average cement price was around Rs 350 per 50 kg bag in March 2025. Overall, in FY25, cement prices declined by 7 per cent year-on-year to Rs 340/bag. In FY24, the average prices stood at Rs 365/bag against Rs 375/bag in FY23, according to an Icra report. The rating agency expects an improvement in operating margins for the cement companies in FY26, helped by tailwinds, as a marginal hike in cement prices and stable input costs. The cement industry, which is witnessing consolidation where two large makers are snapping the small companies in the quest for inorganic growth, saw a lower sales realisation due to falling prices. In Q4, UltraTech's consolidated sales volumes reached 41.02 Million Tonnes (MT), and for the entire fiscal 2024-25, it achieved the highest sales volumes of 135.83 million metric tonnes for the year, helped by acquisitions and ongoing expansions. Q4 FY25 and April saw some improvement in prices, said the top management of the Aditya Birla group flagship firm in a post-earnings call. "We believe that this quarter, cement demand overall for the country would have grown around 4 per cent. And in that backdrop, UltraTech has done close to 10 per cent volume growth," its CFO Atul Daga said. Similarly, Ambuja Cements, the second-largest cement manufacturer of the country, reported a consolidated sales of 18.7 million tonnes in the March quarter, which was the "highest ever volume in a quarter" for the company. In FY25, Ambuja Cements' total consolidated income was Rs 37,649.01 crore. The company, which also owns ACC, Sanghi Industries and Penna Industries, crossed 100 million tonnes per annum (MTPA ) capacity and with more expansions in the pipelines, it aims 118 MTPA by the end of FY26. Bangur family promoted Shree Cement, the third-largest cement group by capacity, though it reported a decline of 14.9 per cent in its consolidated net profit to Rs 575 crore for the March quarter, its revenue rose 2.42 per cent to Rs 5,532.02 crore. In the March quarter, Shree Cements' total sales volume was 9.84 million tonnes (MT), which, according to the company, is the "highest" quarterly volume achieved by it. Shree Cements also reported a higher growth coming from the premium segment and expects this trend to continue in FY26. The company expects the cement industry to achieve 6.5-7.5 per cent demand growth, fuelled by infra projects, rural recovery and real estate momentum in FY26, though external challenges in terms of geopolitical conflicts and trade barriers by key economies will persist. Dalmia Bharat also reported an increase in sales volume by 2.8 per cent to 8.6 MT, though its revenue from operations slipped 5 per cent to Rs 4,091 crore in the March quarter on account of softening prices. South-based India Cements Ltd (ICL), now an Aditya Birla Group firm, has reported a net profit of Rs 14.68 crore after several quarters, though its revenue from operations was down 3.11 per cent to Rs 1197.30 crore. MP Birla Group firm Birla Corporation has reported an increase of 32.7 per cent in its net profit to Rs 256.6 crore for the March quarter, and its revenue was up 6 per cent at Rs 2,814.91 crore. Orient Cement, now owned by Adani Group's Ambuja Cement, has reported a decline of 38.3 per cent in its net profit to Rs 42.07 crore. The revenue of the cement maker, earlier owned by the CK Birla group, declined 7.07 per cent to Rs 825.18 crore in the March quarter. According to UltraTech, in FY25, the cement industry ended with a capacity of about 655 MT, up from 625 MT a year ago.
Time of India
18-05-2025
- Business
- Time of India
Large cement makers report volume growth in Q4; expect to continue momentum in FY26
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Large cement companies have reported a volume growth in the March 2025 quarter and expect enhanced performance in FY26 on better sales realisation and stable demand . Leading listed cement firms like UltraTech Shree Cements , and Dalmia Bharat have retained around 7 to 7.5 per cent growth for the cement industry in FY26, following government spending on infrastructure projects and rural they are cautious about the geopolitical tensions and changing trade the March quarter, cement makers reported gains in volumes, ranging from 3.5 to 10 per cent and an enhanced capacity utilisation on a year-on-year their topline numbers continue to face challenges on account of lower year-on-year sales realisation, though input costs for coal, petcoke and diesel were significantly all-India average cement price was around Rs 350 per 50 kg bag in March in FY25, cement prices declined by 7 per cent year-on-year to Rs 340/ FY24, the average prices stood at Rs 365/bag against Rs 375/bag in FY23, according to an Icra rating agency expects an improvement in operating margins for the cement companies in FY26, helped by tailwinds, as a marginal hike in cement prices and stable input cement industry, which is witnessing consolidation where two large makers are snapping the small companies in the quest for inorganic growth, saw a lower sales realisation due to falling Q4, UltraTech's consolidated sales volumes reached 41.02 Million Tonnes (MT), and for the entire fiscal 2024-25, it achieved the highest sales volumes of 135.83 million metric tonnes for the year, helped by acquisitions and ongoing expansions.Q4 FY25 and April saw some improvement in prices, said the top management of the Aditya Birla group flagship firm in a post-earnings call."We believe that this quarter, cement demand overall for the country would have grown around 4 per cent. And in that backdrop, UltraTech has done close to 10 per cent volume growth," its CFO Atul Daga Ambuja Cements, the second-largest cement manufacturer of the country, reported a consolidated sales of 18.7 million tonnes in the March quarter, which was the "highest ever volume in a quarter" for the FY25, Ambuja Cements' total consolidated income was Rs 37,649.01 crore. The company, which also owns ACC, Sanghi Industries and Penna Industries, crossed 100 million tonnes per annum (MTPA ) capacity and with more expansions in the pipelines, it aims 118 MTPA by the end of family promoted Shree Cement, the third-largest cement group by capacity, though it reported a decline of 14.9 per cent in its consolidated net profit to Rs 575 crore for the March quarter, its revenue rose 2.42 per cent to Rs 5,532.02 the March quarter, Shree Cements' total sales volume was 9.84 million tonnes (MT), which, according to the company, is the "highest" quarterly volume achieved by Cements also reported a higher growth coming from the premium segment and expects this trend to continue in company expects the cement industry to achieve 6.5-7.5 per cent demand growth, fuelled by infra projects, rural recovery and real estate momentum in FY26, though external challenges in terms of geopolitical conflicts and trade barriers by key economies will Bharat also reported an increase in sales volume by 2.8 per cent to 8.6 MT, though its revenue from operations slipped 5 per cent to Rs 4,091 crore in the March quarter on account of softening India Cements Ltd (ICL), now an Aditya Birla Group firm, has reported a net profit of Rs 14.68 crore after several quarters, though its revenue from operations was down 3.11 per cent to Rs 1197.30 Birla Group firm Birla Corporation has reported an increase of 32.7 per cent in its net profit to Rs 256.6 crore for the March quarter, and its revenue was up 6 per cent at Rs 2,814.91 crore. Orient Cement , now owned by Adani Group's Ambuja Cement, has reported a decline of 38.3 per cent in its net profit to Rs 42.07 crore. The revenue of the cement maker, earlier owned by the CK Birla group, declined 7.07 per cent to Rs 825.18 crore in the March to UltraTech , in FY25, the cement industry ended with a capacity of about 655 MT, up from 625 MT a year ago.
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Business Standard
15-05-2025
- Business
- Business Standard
Cement shares in focus; JK, Dalmia, Shree Cement hit 52-wk high; here's why
Cement shares price movement today: Shares of cement companies were in focus and they rallied by up to 4 per cent on the BSE in Thursday's intra-day trade in an otherwise weak market as the companies' leadership are optimistic about improving cement demand. Shree Cement (up 4 per cent at ₹31,865.20), JK Cement (up 1.6 per cent at ₹5,389.40) and Dalmia Bharat (up 1 per cent at ₹2,079.90) have hit their respective 52-week highs on the BSE in intra-day trade today. In comparison, the BSE Sensex was down 0.55 per cent at 80,882 at 10:11 am. Cement companies that have announced their March 2025 quarter (Q4FY25) earnings so far, have reported strong operational performance on a sequential basis. Shree Cement's Q4 earnings before interest, taxes, depreciation and amortisation (Ebitda) surged 46 per cent quarter-on-quarter (QoQ) led by a focus on pricing and operational efficiency. Q4 profit after tax rose 142 per cent to ₹556 crore QoQ. Total cement and clinker sale volume reached 9.84 million tonnes, which is the highest ever quarterly volume achieved by the company, Shree Cement said. Birla Corporation last week reported a sharp 13 per cent YoY and 115 per cent QoQ increase in Ebitda to ₹540 crore, driven by better-than-expected volume, realisation and higher incentive income accrual. Ebitda/ tonne for Cement rose ₹445 QoQ. An uptick in demand and prices during the quarter led to better realisation and a higher capacity utilisation of 105 per cent in the March quarter. Notwithstanding pressure on prices and demand, the cement industry benefited from benign power and fuel costs, the company said. Cement market outlook As per the Reserve Bank of India's recent estimate, India could still achieve its projected growth of 6.5 per cent for FY26. In this context, the cement demand is unlikely to be affected majorly by these global disruptions. As for demand, UltraTech Cement, the sector giant, in Q4FY25 earnings call said that the company is seeing positive movement in government spending. Several new projects have been contemplated, which will assist in a steady cement consumption year-on-year. The beginning of the year is slightly weak because of very heavy heat or high heat that is prevailing, which slows down construction activity. States like Andhra and Bihar, in particular, are seeing renewed focus in terms of spending on roads and other infrastructure growth. 'We believe once this heat subsides, in fact, Bihar, we understand rains have already come in and temperatures are coming down, we should start seeing improvement in sales performance or volume uptick in all the parts of the country,' Atul Daga, Chief Financial Officer of UltraTech Cement said. Meanwhile, during FY26, the cement industry is expected to achieve 6.5-7.5 per cent demand growth fueled by infrastructure projects, rural recovery and real estate momentum. While there are external challenges in terms of geo-political conflicts and trade-barriers by key economies, ability of the Industry in general to balance growth with sustainability and cost efficiency will be critical to building a new India, Shree Cement said. Motilal Oswal Financial Services view on Shree Cement Shree Cement once again reported industry-leading profitability, led by strong growth in realisation and maintaining cost leadership. The company's sustained efforts in brand building and premiumisation over the past one year started to deliver reflected in above-industry realisation growth. However, its capacity utilisation continued to lag behind peers. The brokerage firm in Q3FY25 result update said that they continue to believe low capacity utilisation, lack of geographical distribution, disproportionate mix of split grinding units and integrated cement plants, and rising industry supply (expect higher capacity additions in its core markets in the North and East) may constrain any capacity-led re-rating in the stock.
Time of India
28-04-2025
- Business
- Time of India
India Cement's CFO sees ebitda per tonne above Rs 1,000 crore in 3 years
India Cement, now a subsidiary of UltraTech Cement, anticipates a sharp rise in profitability. The company aims to achieve an Ebitda per tonne of over ₹1,000 within three years. This improvement will be driven by increased volumes, better margins, cost efficiency, and lower logistics expenses. UltraTech plans to invest ₹1,500 crore in India Cement over the next two fiscal years. Tired of too many ads? Remove Ads India Cement is eyeing a sharp spike in its profitability, with earnings before interest, tax, depreciation and amortisation (Ebitda) per tonne crossing ₹1,000 in three years from just ₹40 in the March quarter, a top executive said."During this year, we target to cross an Ebitda per metric tonne of ₹500, FY27 should be crossing ₹800, and thereafter a four-digit mark," said Atul Daga, chief financial officer of India Cement that became a subsidiary of UltraTech Cement late in improvement in volumes, higher margins by way of prices and cost efficiency, lower logistics costs, and overhead optimisation will aid the profitability, Daga told analysts on a call post the company's quarterly earnings. "Practically, all elements of the P&L are getting addressed for improvement," he South India-centred company, which became a subsidiary of UltraTech Cement late in December, achieved operating Ebitda breakeven in interest rate outgo is down by 3.76% since the acquisition, falling to ₹38 crore in the March quarter from ₹64 crore in the year-ago period. UltraTechplans to spend ₹1,500 crore as capital expenditure on India Cements over the current amd next fiscal.
