Star Cement Limited reported a consolidated net profit of ₹73.90 crore for the quarter ended June 30, 2026, marking a 24.7% decline from the ₹98.16 crore recorded in the same period last year. This dip in profitability occurred even as revenue from operations grew by 3.4% year-on-year to ₹942.89 crore, driven by higher operational activity across its cement manufacturing units. The divergence between revenue growth and profit contraction highlights increased cost pressures and strategic investments impacting the bottom line during the initial quarter of FY27.

The standalone net profit also saw a marginal decline of 1.8%, falling to ₹23.76 crore from ₹24.19 crore in Q1FY26. Standalone revenue from operations rose by 5.8% to ₹576.31 crore. Statutory Auditors Singhi & Co. issued limited review reports on both the standalone and consolidated financial results, confirming compliance with Ind AS 34 and SEBI (LODR) Regulations. The Board approved the unaudited financial results at its meeting held on August 07, 2026.

Key Financial Metrics

Standalone earnings per share stood at ₹0.59, compared to ₹0.60 in the previous quarter. Consolidated EPS was ₹1.85, down from ₹2.44 year-on-year. The company’s total income for the consolidated entity reached ₹951.09 crore, while total expenses amounted to ₹853.58 crore.

Board Reappointments and Governance

In addition to financial results, the Board reappointed four senior executives for a further period of three years, effective from April 01, 2027, to March 31, 2030. The reappointments are subject to shareholder approval at the ensuing Annual General Meeting. Mr. Sajjan Bhajanka will continue as Chairman & Managing Director, alongside Mr. Sanjay Agarwal and Mr. Prem Kumar Bhajanka as Managing Directors. Mr. Pankaj Kejriwal was reappointed as Executive Director. These appointments ensure continuity in leadership as the company navigates its growth phase.

What the Numbers Show

A notable structural change in the cost base is visible through the adoption of concessional income tax rates under Section 115BAA of the Income-tax Act, 1961, effective April 01, 2026. This regulatory shift impacts tax expense comparability with prior periods. Additionally, the Group acquired 100% equity shareholding in Jaitaran Renewable Power Private Limited and Nitesh Minerals Private Limited during the quarter, integrating their financial performance into the consolidated results from their respective acquisition dates. These acquisitions signal a strategic push towards renewable energy and mineral resources, diversifying the company’s traditional cement-centric portfolio.

Shareholder Information

The Twenty-Fifth Annual General Meeting is scheduled for September 25, 2026, at 11:30 a.m., conducted via Video Conferencing or Other Audio Video Means. The Register of Members and Share Transfer Books will remain closed from September 19, 2026, to September 25, 2026, inclusive. Shareholders holding equity shares with a face value of ₹1 each are eligible to participate. The Annual Report for FY26 will be dispatched electronically to registered members.

Star Cement Limited has confirmed that its Register of Members and Share Transfer Books will remain closed from Saturday, September 19, 2026, to Friday, September 25, 2026, in connection with its 25th Annual General Meeting (AGM). This procedural update coincides with the company’s Q1FY26 financial results, which reported a 25% year-on-year decline in consolidated net profit to ₹739.09 lakhs, driven by contracting EBITDA margins despite a marginal rise in revenue.

The AGM is scheduled to be held on Friday, September 25, 2026, at 11:30 a.m. via Video Conferencing. The notice was issued by Debabrata Thakurta, Company Secretary, on August 7, 2026, and submitted to the Listing Department of BSE Limited. During the meeting, shareholders are expected to approve the re-appointment of four key directors for a three-year term ending March 31, 2030.

Financial Performance Context

The book closure announcement follows the release of Q1FY26 results reviewed by Statutory Auditors Singhi & Co. Consolidated revenue from operations rose to ₹9,428.89 lakhs from ₹9,119.93 lakhs in Q1FY25. However, profitability faced pressure as EBITDA declined to ₹1.94 billion from ₹2.28 billion, with the EBITDA margin contracting to 20.63% from 25.02%.

The Board attributed the non-comparable tax expense to the adoption of the concessional income tax rate under Section 115BAA of the Income-tax Act, 1961, effective April 1, 2026. Additionally, the Group recognized a provision of ₹579.94 lakhs as an exceptional item in Q4FY26 related to new Labour Codes implementation.

Board Re-appointments

Subject to shareholder approval at the AGM, the Board has recommended the re-appointment of the following executives for a three-year term:

• Sajjan Bhajanka as Chairman & Managing Director
• Sanjay Agarwal as Managing Director
• Prem Kumar Bhajanka as Vice Chairman & Managing Director
• Pankaj Kejriwal as Executive Director

These appointments were made pursuant to the recommendation of the Nomination and Remuneration Committee. The disclosures confirm familial relationships within the Bhajanka family, including Sajjan Bhajanka being the father of Non-Executive Director Keshav Bhajanka, and Prem Kumar Bhajanka being the father of Managing Director & CEO Tushar Bhajanka.

What the Numbers Show

The divergence between rising revenue and falling profitability highlights the impact of changing regulatory costs and margin pressures. The contraction in EBITDA margin — from 25.02% to 20.63% — alongside the decline in net profit, underscores the effect of the new concessional tax regime and provisions for Labour Code compliance on the group's cost structure. The standalone segment showed tighter margins compared to the consolidated view, suggesting that subsidiary performance played a significant role in overall group profitability dynamics this quarter.