Shree Cement Q4 Result: Net profit falls 8% YoY; board recommends final dividend of ₹70 for FY26

Shree Cement on Wednesday, May 6, reported a consolidated net profit of ₹526 crore in the fourth quarter of financial year 2025-26 (Q4 FY26), marking a decline of 8.3% from ₹574 crore during the same period last year.

Revenue from operations for the country's third-largest cement group by capacity for the quarter ended March 31, 2025, increased 10.3% to ₹6,101 crore as against ₹5,532 crore in the year-ago period.

Shree Cement, however, reported a decline in operational performance in Q4 as its operating profit, also known as earnings before interest, taxes, depreciation, and amortisation (EBITDA), slipped 3% to ₹1,384 crore from ₹1,429 crore in the same period of the previous fiscal year.

Its operating profit margin, also known as EBITDA margin, fell to 22.6% from 25.8% in the corresponding period last year. 

Along with its earnings, the board of directors of Shree Cement has also recommended a final dividend of ₹70 per equity share (face value ₹10) for FY26, subject to shareholders’ approval at the upcoming Annual General Meeting.

“Consequently, the total dividend for the year stands at ₹150 per share, representing a 36% increase over the ₹110 per share dividend paid in 2024–25,” a company statement said.

The cement-making company reported a cement sales volume of 10.56 million tonnes, registering an 11% YoY growth from 9.52 million tonnes and a 24.5% increase on a quarter-on-quarter (QoQ) basis. Its total volume, including clinker sales, rose 9.4% YoY to 10.77 million tonnes from 9.84 million tonnes, while growing 23.2% sequentially.

The company also saw an improvement in its product mix, with sales of premium products increasing to 22% of total trade volume compared to 16% in the corresponding quarter of the previous year.

Shree Cement said it is rapidly expanding its ready-mix concrete (RMC) business with 26 operational plants at the end of FY26. During the month of March 2026, the company has inaugurated 10 new commercial RMC plants, which are currently under commissioning.

With the commissioning of these plants, the company said its total RMC plant count will increase to 36 plants, significantly strengthening its operational footprint at the beginning of FY27.

“While cost pressures persisted due to the impact of the West Asia conflict, we continue to strengthen our performance by improving energy efficiency, increasing digitalisation across operations, and leveraging data-driven processes to enhance productivity. With robust demand fundamentals and ongoing digital and sustainability-led interventions, we are confident of delivering sustainable and profitable growth in the coming quarters,” said Neeraj Akhoury, Managing Director, Shree Cement.

During the quarter, the company commissioned its integrated project of 3.65 MTPA clinker capacity and 3.50 MTPA cement capacity at Kodla, Karnataka. With this, the company's installed cement production capacity in India (including its wholly owned subsidiaries) increased to 69.3 MTPA, strengthening its position as India’s third largest cement group.

To further expand its capacity, Shree Cement is setting up an integrated cement plant with a clinker capacity of 0.95 MTPA and a cement capacity of 0.99 MTPA in the state of Meghalaya. During the quarter, it also incorporated a wholly owned subsidiary with the purpose of establishing and operating cement, blending, storage, and packaging facilities in Mauritius.

On Wednesday, shares of Shree Cement closed at ₹24,975 apiece on the National Stock Exchange, rising 0.52%. The earnings, however, were announced after the market hours.