Shree Digvijay Cement Company filed its Business Responsibility and Sustainability Report (BRSR) for the financial year ended March 31, 2026, with the stock exchanges on August 20, 2026. The filing details the company’s environmental performance, energy consumption patterns, and social responsibility metrics for the period.

The company reported a turnover of ₹75,315 lakh and a net worth of ₹36,545 lakh. Cement manufacturing accounted for 99.12% of the total turnover. The entity operates one integrated cement plant and eight marketing offices across India, serving customers in 14 states and one international market.

Environmental Performance

Total energy consumption rose to 40,75,585 GJ in FY26 from 38,84,800 GJ in FY25. Non-renewable sources constituted the majority of this intake, with fuel consumption at 36,18,194 GJ and electricity at 2,17,575 GJ. Renewable energy consumption stood at 2,04,022 GJ.

Greenhouse gas emissions showed a significant reduction. Total Scope 1 emissions fell to 5,23,230.28 metric tonnes of CO₂ equivalent from 8,71,611.34 metric tonnes in the prior year. Scope 2 emissions also declined to 33,543 metric tonnes from 36,620 metric tonnes. The emission intensity per tonne of cement dropped to 396.882 kg CO₂/t from 673.647 kg CO₂/t.

Water withdrawal increased slightly to 63,806.66 kilolitres, primarily sourced from groundwater. The company maintains a Zero Liquid Discharge system, with no industrial effluent discharged outside the premises. Treated sewage water is reused for gardening and dust suppression.

Waste Management

Total waste generated decreased to 4,458.11 MT from 6,162.58 MT in FY25. Plastic waste accounted for the largest share at 4,445.97 MT, which was co-processed in the kiln as alternative fuel. The company co-processed approximately 4,860 MT of alternative fuels and raw materials annually, reducing reliance on fossil fuels.

Social Metrics

The workforce comprised 219 employees and 494 workers. Permanent employees saw a turnover rate of 15% in FY26, up from 12% in FY25. The company spent ₹15.03 crore on employee well-being measures, representing 0.201% of total revenue. There were zero lost-time injury frequency rates and zero fatalities reported during the year.

What the Numbers Show

The sharp decline in Scope 1 emissions intensity—from 673.647 kg CO₂/t to 396.882 kg CO₂/t—occurred alongside an increase in total energy consumption. This divergence suggests that the additional energy consumed was largely derived from lower-carbon sources or alternative fuels, rather than conventional fossil fuels, aligning with the reported increase in renewable energy usage and AFR co-processing.

Shree Digvijay Cement Company reported a 50% year-on-year decline in standalone net profit for the quarter ended June 30, 2026, dropping to ₹6.83 crore from ₹13.79 crore in Q1FY25. The profit contraction occurred despite a 72% surge in revenue from operations to ₹33,727 lakh, highlighting significant margin compression caused by rising input and logistics costs amid global geopolitical uncertainties. While sales volume nearly doubled, EBITDA per ton fell sharply to ₹500 from ₹701, indicating that cost inflation outpaced pricing power.

The Board of Directors approved the unaudited financial results at its meeting held on July 24, 2026, pursuant to Regulation 33 of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015. The results were reviewed by the Audit Committee and subjected to limited review by M/s. BSR and Co., the statutory auditors of the company. Amit Arora, CEO & Managing Director, stated that management remains confident in the company's long-term growth potential, supported by strong operational capabilities and disciplined capital allocation.

Operational Performance

Sales volume for Shree Digvijay Cement Company Limited rose sharply to 6.06 lakh tons in Q1FY26, compared to 3.59 lakh tons in the same period last year. This volume growth was primarily driven by cement sold under the Brand Usage, Supply and Distributorship Agreement with Hi-Bond Cement (India) Private Limited. The company sold 249,343 metric tons manufactured at the Hi-Bond plant during the quarter, a substantial increase from 29,928 metric tons in the preceding quarter ended March 2026.

Financial Metrics

Revenue from operations stood at ₹33,727 lakh, up from ₹19,595 lakh in Q1FY25. EBITDA grew moderately by 20.2% to ₹3,028 lakh, but EBITDA per ton declined significantly to ₹500 from ₹701. Profit before tax fell to ₹915 lakh from ₹1,852 lakh, while total tax expenses decreased to ₹232.66 lakh from ₹473.11 lakh.

Sub-contracting costs for purchased cement emerged as a major expense driver, rising to ₹12,091.51 lakh from nil in Q1FY25, reflecting the increased reliance on third-party manufacturing under the Hi-Bond agreement. Finance costs also increased substantially to ₹1,162.97 lakh from ₹57.95 lakh in the prior year period.

What the Numbers Show

The divergence between volume growth and profitability underscores the impact of external cost pressures. While the company successfully expanded its market presence through the Hi-Bond partnership, driving sales volume up nearly 69%, the inability to pass on all cost increases resulted in a 28.7% drop in EBITDA per ton. This suggests that operational leverage has been offset by higher variable costs, particularly in sub-contracting and finance charges, which together accounted for a significant portion of the expense base.

Consolidated segment-wise data reveals that the cement business generated segment revenue of ₹33,726.73 lakh with a segment result of ₹2,078.15 lakh. Total comprehensive income for the consolidated group was ₹660.51 lakh, compared to ₹1,319.21 lakh in Q1FY25. Paid-up equity share capital increased slightly to ₹14,791.50 lakh following the allotment of 45,000 equity shares under the Employees Stock Options Scheme - 2019.