Ultratech, ACC, Ambuja, Ramco Cements: Most cement companies post blockbuster numbers in Q2 despite headwinds; details to know

Backed by the healthy cement demand, ICRA had said average cement realisation (ex-factory price excluding GST) will rise by 3-5% in FY 2026, even as the input prices are expected to remain range-bound, boosting the operating profit of cement companies by ₹100-₹150/MT. Further, OPBIDTA/MT is likely to improve by 12-18% to ₹900-950/MT in FY 2026.

OPBIDTA/MT stands for operating profit before interest, depreciation, taxes, and amortisation per metric tonne. It is similar to EBITDA but is often used in sectors like manufacturing or commodities.

On September 3, 2025, the GST Council approved the reduction of GST on cement from 28% to 18%.

Proving the analysis correct, most cement companies passed the September quarter with flying colours.

The cement companies said in their earnings statement that despite the headwinds from prolonged monsoons, channel adjustments to GST rate cuts and early festive celebrations, the cement sector benefitted and will benefit from the tailwinds of several favourable developments, including GST 2.0 reforms, the Carbon Credit Trading Scheme (CCTS) and the withdrawal of coal cess.

Besides, sustained focus on premiumisation, higher sales volume, and improvement in prices aided most companies' earnings in Q2.

UltraTech Cement

UltraTech Cement, India's leading cement maker, reported a consolidated net profit of ₹1,237.98 crore for the September quarter of FY26.

It had posted a net profit of ₹707.96 crore in the July-September period a year ago, the Aditya Birla Group flagship firm said in a regulatory filing.

Revenue from operations was at ₹19,606.93 crore. It was ₹16,294.42 crore a year earlier.

The company said its results "for the three months and six months ended September 30, 2025, are not comparable with the previous corresponding period" due to the acquisition of South-based India Cements Ltd, Wonder WallCare, and Ras Al Khaimah, UAE-based RAKWCT.

Moreover, the scheme for the merger of the cement business of Kesoram Industries with UltraTech and their respective shareholders and creditors was also effective from March 1, 2025.

UltraTech's total income, which includes other income as well, was at ₹19,781.07 crore in the September quarter.

In the September quarter, UltraTech's consolidated sales volume was up 6.9% to 33.85 metric tonnes.

"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 company has delivered remarkable growth during this quarter," said an earnings statement from the Aditya Birla Group firm.

This growth has exceeded the expected industry growth of around 5% for the same period, it added.

Total expenses of UltraTech in the September quarter were at ₹18,119.56 crore.

In the first half of the fiscal year (H1/FY26), UltraTech's total income was at ₹41,238.75 crore.

The company further said it has passed the full benefit of the reduction in duty to its customers under the GST reforms by the government.

ACC Ltd

ACC Ltd reported more than a fivefold rise in consolidated profit after tax (PAT) to ₹1,119.26 crore in the September quarter on the back of strong sales.

The company had posted a consolidated net profit of ₹199.7 crore in the same period last fiscal year, ACC Ltd said in a regulatory filing.

Consolidated revenue from operations in the September quarter stood at ₹5,896.16 crore as against ₹4,542.23 crore seen in the corresponding period last fiscal year, it added.

Total expenses stood at ₹5,393.42 crore as against ₹4,473.67 crore seen in the same period a year ago, the company said.

In the second quarter, cement and ancillary services clocked revenue of ₹5,519.18 crore, up from ₹4,373.41 crore in the year-ago period, the filing said.

The ready-mix concrete segment posted revenue of ₹453.62 crore as against ₹289.1 crore logged in the same period last fiscal year, the company said.

Ambuja Cements

Ambuja Cements reported an over fourfold increase in profit after tax (PAT) year-on-year at ₹2,302 crore in the second quarter ended September 2025.

The Adani group firm reported a PAT of ₹496 crore in the July-September quarter of the last fiscal.

The PAT for the September quarter this fiscal includes an income tax provision reversal of ₹1,697 crore, Ambuja Cements said in a regulatory filing.

Revenue from operations rose to ₹9,174 crore during the period under review as compared to ₹7,552 crore in the year-ago period.

"This quarter has been noteworthy for the cement industry. Despite the headwinds from prolonged monsoons, the sector will benefit from the tailwinds of several favourable developments, including GST 2.0 reforms, the Carbon Credit Trading Scheme (CCTS), and the withdrawal of coal cess," Ambuja Cements Whole Time Director & CEO Vinod Bahety stated.

The company's capacity expansion is well-timed to capitalise on this positive momentum, he added.

"We have upped our FY28 target capacity by 15 MTPA from the earlier 140 MTPA to now 155 MTPA. This increase of 15 MTPA from debottlenecking initiatives will come at a much lower capex of USD 48/MT," Bahety said.

In addition, debottlenecking of plant logistics infrastructure will help in improving existing capacity (107 MTPA) utilisation by 3%, the CEO added.

"Our outlook for the balance period of FY26 remains positive. We remain optimistic about delivering double-digit revenue growth and four-digit PMT EBITDA." By the end of FY26, we target to deliver a total cost of ₹4,000 PMT and a further 5% reduction YoY for the next two years, helping us to achieve the cost target of ₹3,650 PMT by FY28," Bahety noted.

Shree Cement

Shree Cement Ltd, the country's third-largest cement group by capacity, reported over a fourfold jump in consolidated net profit to ₹309.82 crore for the September quarter of FY26, helped by sales volume growth and premiumisation.

The company had posted a net profit of ₹76.64 crore in the July-September period a year ago, according to a regulatory filing from the Bangur family-promoted Shree Cement Ltd (SCL).

Its revenue from operations was up 17.43% to ₹4,761.07 crore in the September quarter of FY26. It was at ₹4,054.17 crore in the corresponding quarter of the preceding fiscal year.

The revenue growth was "driven by volumes, premiumisation push and value over volume strategy adopted by the company", according to an earnings statement by the company.

Ramco Cements

The Ramco Cements reported a three-fold surge in its consolidated net profit to ₹77.88 crore for the September quarter.

The company had posted a net profit of ₹25.77 crore during the July-September quarter of the previous fiscal year, according to a regulatory filing by The Ramco Cements.

Its revenue from operations grew 9.52% to ₹2,238.74 crore in the September quarter of FY26. It was ₹2,044.13 crore in the corresponding period of the previous fiscal.

During Q2 FY26, the cement sales volume remained flat at 4.40 million tonnes, the company said in an earnings statement.

"The lack of volume growth is due to early monsoon/excess rainfall and the run-up to rationalisation of GST rates," it added.

The cement capacity utilisation for Q2 FY26 was at 71% against 75% during Q2 FY25.

"The reason for the reduction in cement capacity utilisation during Q2 FY26 is due to additional capacities aggregating to 1.3 MTPA created by way of debottlenecking during H2 FY25," it said.

Total expenses of The Ramco Cements in the September quarter increased 6.23% to ₹2,145.45 crore.

Its total income, which includes other income, rose 9.3% to ₹2,245.28 crore in the September quarter.

Over the capex, The Ramco Cements said it "plans to achieve a cement capacity of 30 MTPA by March 2026 with the commissioning of the second line in Kolimigundla, along with debottlenecking of existing facilities and adding grinding capacities in existing locations with nominal capex."

HeidelbergCement India

HeidelbergCement India reported a two-fold rise in net profit to ₹24.93 crore for the September quarter of FY26, helped by higher sales volume and improvement in prices.

The company had reported a net profit of ₹11.21 crore in the July-September quarter a year ago, according to a regulatory filing from HeidelbergCement India.

Its revenue from operations rose 10.9% to ₹511.66 crore in the September quarter of FY26. It was ₹461.41 crore in the corresponding quarter a year ago.

HeidelbergCement India's sales volume increased 9.2% to 1,075 kilotonnes.

Its total expenses stood at ₹487.15 crore, up 6.14%.

The total income was ₹520.62 crore in the September quarter, up 9.8%.

"The company reported a year-on-year revenue increase of 11%, driven by an 8% increase in sales volumes and a 2% improvement in prices," said HeidelbergCement in its earnings statement.

Moreover, on a per-tonne basis, total operating costs, including freight, declined by 2%, resulting in an EBITDA of 535 per tonne, which reflects a year-on-year increase of 41%, it added.

HeidelbergCement India is a subsidiary of Heidelberg Materials, a German multinational building materials company.

Nuvoco Vistas

Nuvoco Vistas Corp, the building materials division of the Nirma Group, reported a consolidated profit of ₹36.43 crore in the second quarter ended on September 30, 2025.

The company had reported a net loss of ₹85.17 crore in the July-September quarter a year ago.

Its revenue from operations was up 8.33% to ₹2,457.57 crore in the September quarter. It was at ₹2,268.58 crore in the corresponding quarter a year ago.

Total expenses of Nuvoco Vistas were at ₹2,410.27 crore, marginally up in the September quarter of FY26.