Orient Cement reported a net profit of ₹77 crore for the quarter ended June 30, 2026 (Q1FY26), marking a 62% decline from the ₹205 crore recorded in the corresponding period of FY25. Revenue from operations fell to ₹604 crore, down from ₹866 crore in Q1FY25, reflecting softer operational performance amid the company's transition as a subsidiary of Ambuja Cements Limited. Despite the revenue contraction, the company’s EBITDA margin expanded to 23.84% from 21.07% in the year-ago period, indicating improved cost efficiency. The earnings per share stood at ₹3.76, compared to ₹10.00 in Q1FY25.

The Board of Directors, meeting on July 23, 2026, approved the unaudited financial results prepared in accordance with Ind AS and Regulation 33 of the SEBI Listing Regulations. The results were reviewed by the Audit Committee and subjected to a limited review by statutory auditors G. K. Choksi & Co. In strategic developments, the Board sanctioned a ₹450 crore inter-corporate deposit (ICD) to its holding company, Ambuja Cements Limited, carrying an interest rate of 8% per annum, repayable by March 31, 2027. Additionally, the Board approved the acquisition of a 9.04% stake in Vena Energy KN Wind Power Private Limited for ₹12.34 lakh.

Financial Performance Breakdown

Revenue from operations declined to ₹604 crore in Q1FY26 from ₹866 crore in Q1FY25. Total income decreased to ₹609 crore from ₹868 crore. Total expenses were ₹506 crore, down from ₹724 crore in the prior year quarter. Profit before tax fell to ₹103 crore from ₹144 crore. EBITDA came in at ₹1.44B rupees versus ₹1.8B in the year-ago period, while the EBITDA margin expanded to 23.84% from 21.07% YoY. Tax expense was ₹26 crore, compared to a tax credit of ₹61 crore in Q1FY25, which had included a significant deferred tax reversal due to the adoption of the Section 115BAA tax regime in the previous year.

Strategic Developments and Corporate Actions

The Board approved the acquisition of 25,665 equity shares and 9,777 cumulative convertible preference shares of Vena Energy KN Wind Power Private Limited, representing a 9.04% stake. The target entity operates a 46 MW wind power project in Mangoli District, Karnataka. The acquisition aims to secure captive power supply under the Electricity Act framework, and the transaction is expected to close by August 31, 2026. Vena Energy’s turnover was ₹59.85 crore in FY25.

Furthermore, the Scheme of Amalgamation between Orient Cement and Ambuja Cements Limited has progressed. Following no-objection certificates from BSE and NSE, the joint application was filed with the National Company Law Tribunal (NCLT), Ahmedabad Bench. The NCLT directed that a shareholder meeting be held on September 28, 2026, to approve the scheme. Upon effectiveness, shareholders will receive 33 equity shares of Ambuja Cements for every 100 shares of Orient Cement held.

What the Numbers Show

The sharp decline in net profit is primarily driven by a 30% drop in revenue from operations rather than margin compression alone. Notably, the EBITDA margin expansion to 23.84% from 21.07% YoY signals that the company managed its operating costs more efficiently despite the revenue headwind. The tax position also shifted from a substantial credit in Q1FY25—driven by deferred tax reversals linked to the new tax regime—to a standard expense in Q1FY26. This normalization of tax charges, combined with lower top-line performance, underscores the transitional nature of the financials post-acquisition by Ambuja Cements.

Orient Cement Ltd will host an investor and analyst call on July 28, 2026, to discuss its unaudited financial results for the quarter ended June 30, 2026. The meeting, scheduled to begin at 16:30 IST, will provide a platform for the management to present the business outlook for the company. This interaction follows a previous intimation sent to the exchanges on July 07, 2026.

Event Details

The earnings call is organized to facilitate a direct dialogue between the company's leadership and the investor community. The discussion will focus on the financial performance for Q1FY27 and the strategic direction moving forward.

Call Information

The intimation regarding this interaction has been submitted to BSE Limited and National Stock Exchange of India Limited. Pranjali Dubey, Company Secretary and Compliance Officer, signed the disclosure on behalf of Orient Cement Limited.