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JSW Cement vs UltraTech vs Ambuja: A comparative look at cement companies ahead of IPO launch
5 min read | Updated on August 06, 2025, 13:26 IST
SUMMARY
JSW Cement’s mammoth ₹3,600 crore IPO will open for subscription on August 7. With an ambitious expansion pipeline and a green product focus, JSW is positioning itself aggressively against listed peers UltraTech and Ambuja. The cement sector is fueled by robust government infrastructure spends and is expected to grow at 7.5-8.5% CAGR till FY30, and remains a key wealth creation avenue.
JSW Cement will use 50% net IPO proceeds towards establishing a new integrated cement unit.
The domestic stock market will witness the much-awaited JSW Cement IPO opening on August 7, 2025. The public issue with a size of ₹3,600 crore, comprising both fresh issue and offer for sale (OFS), with a lot size of 102 shares. The IPO will close for subscription on August 11, 2025.
JSW Cement IPO key details
The company will use 50% of net IPO proceeds towards establishing a new integrated cement unit, 32.5% for repayment of loans, and 17.5% for general corporate purposes. JSW Cement, with India's largest GGBS production and a dominant 84% market share in this eco-friendly segment, aims to leverage the listing to accelerate its expansion and sustainability agenda.
| IPO details | Value |
|---|---|
| Issue size | ₹3,600 crore (₹1,600 cr fresh issue and ₹2,000cr OFS) |
| Price band | ₹139 to ₹147 per share |
| Face value | ₹10 per share |
| Lot size | 102 shares |
| Market cap | ₹20,041 crore |
| Listing date | August 14, 2025 |
| Exchanges | NSE, BSE |
Cement industry outlook: Growth and opportunity
India, the world’s second-largest cement producer. In 2024, the country contributed 11.25% of global output and outpaced peers with a stellar 5.04% CAGR. Domestic demand surged at around 7% annually from FY20 to FY25 and is set to climb another 6.5–7.5% in FY26 with a longer-term CAGR of 7.5–8.5% through FY2030, propelled by high infrastructure spending, a rural housing revival, and renewed momentum under the Pradhan Mantri Awas Yojana (PMAY).
A crucial point: housing continues to be the mainstay, accounting for 55–57% of total cement demand, but infrastructure is swiftly bridging the gap, now representing 29–31%. On the supply side, total installed capacity reached approximately 668 MTPA in FY25, with capacity utilisation improving to 72%.
Key advantage
The sector’s outlook remains highly positive, thanks to the government’s reinforced commitment to infrastructure. With an infusion of ₹10.7 lakh crore earmarked for infrastructure in the latest budget and robust policy support, the industry is set for another leap forward. This systemic push ensures sustained demand for cement, benefiting all major players and positioning the sector as a long-term wealth creator. Ongoing government infrastructure projects, including roads, metro rail, and urban renewal, will deliver sustained cement consumption, enhancing utilisation rates and driving operational efficiencies for industry players.
Positive driver
| Metric | CAGR |
|---|---|
| Pan-India demand | 7.5-8.5% |
| GGBS demand | 14-15% |
| Infrastructure segment | 8.5-9.5% |
| RMC segment | 9-10% |
FY25 snapshot: JSW Cement vs UltraTech vs Ambuja
Let’s pit JSW Cement against listed peers like UltraTech Cement and Ambuja Cements on the parameters of revenue, profit, and operational performance.
| Company name | FY25 Revenue (₹ crore) | Net Profit (₹ crore) | EBITDA (₹ crore) | EPS (₹ per share) | PAT Margin (%) |
|---|---|---|---|---|---|
| JSW Cement | 5,813 | -163 | 815.32 | (1.16) | (2.77%) |
| UltraTech Cement | 75,955 | 6,040 | 13,302 | 205.30 | 7.87% |
| Ambuja Cements | 33,697 | 5,158 | 8,625 | 17.00 | 13.68% |
Key takeaways:
- JSW Cement delivered ₹5,813 crore revenue but reported a net loss in FY25, citing lower realisation per tonne and higher joint venture losses.
- UltraTech Cement and Ambuja remain more profitable, with >₹10,000 crore EBITDA for UltraTech, reflecting significant operational scale and broader product mix.
Scale and reach: Operational comparison
A cement company’s competitive edge is not just revenue—it’s about installed capacity, distribution power, and ability to reach end users rapidly.
| Company | Market share in domestic capacity | Installed grinding capacity (MMTPA) | Cement saleable production (MMT) | Number of dealers | Number of warehouses | Sales volume FY23-FY25 (CAGR) |
|---|---|---|---|---|---|---|
| JSW Cement | 3% | 20.60 | 12.36 | 4,653 | 158 | 9.72% |
| UltraTech Cement | 28% | 191.36 | 131.64 | 37000+ | 1,350 | 11.77% |
| Ambuja Cement | 15% | 88.90 | 61.58 | 12,000+ | - | -3.75% |
What does this mean for investors?
JSW Cement
- Strengths: Market leader in GGBS, ‘green’ cement focus, strong JSW Group backing, expanding distribution rapidly.
- Risks: Loss in FY25, mid-tier scale compared to giants, moderate capacity utilisation.
UltraTech Cement
- Strengths: India’s largest, unmatched scale, pan-India presence, operational efficiency, resilient profitability.
- Risks: Margins can be impacted by input cost pressures, regulatory actions on the environment.
Ambuja Cements
- Strengths: Strong northern and western regional presence, cost leadership, part of Adani Group.
- Risks: Faces similar macro headwinds, relatively smaller than UltraTech.
Before you leave
JSW Cement IPO offers investors an entry into a high-growth, sustainability-focused cement business riding India’s infrastructure boom. Yet, investors must balance their forward-looking story against current financials and the presence of much larger, more efficient incumbents. As India builds its future, the cement leaderboards are bound to shift, offering opportunity and risk in equal measure.
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