Nuvoco Vistas Q3 FY26: Turns Profitable with ₹49.10 Cr, EBITDA Surges 49%
Nuvoco Vistas Corporation delivered outstanding Q3 FY26 performance, turning profitable with ₹49.10 crores net profit against ₹61.40 crores loss in the previous year. The cement manufacturer achieved 12.03% revenue growth to ₹2,700 crores and remarkable EBITDA surge of 48.84% to ₹384 crores, with margin expansion to 14.22%. The company recorded its highest third-quarter volume at 5 million tonnes and maintained premium product mix at 44%, demonstrating strong operational excellence and market recovery momentum.
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Nuvoco Vistas Corporation delivered exceptional third-quarter performance for FY26, achieving a remarkable turnaround from loss to profitability. The cement manufacturer reported a consolidated net profit of ₹49.10 crores in Q3 FY26, compared to a loss of ₹61.40 crores in the same period last year, demonstrating strong operational recovery and financial discipline.
Outstanding Q3 FY26 Financial Performance
The company achieved remarkable financial results during the quarter, with several metrics reaching new highs. The turnaround to profitability was supported by robust revenue expansion and exceptional EBITDA improvement, contrasting with most other cement producers whose profits declined sequentially due to GST-related price revisions.
| Metric | Q3 FY25 | Q3 FY26 | YoY Change |
|---|---|---|---|
| Net Profit (₹ Cr.) | -61.40 | 49.10 | Profit vs Loss |
| Revenue (₹ Cr.) | 2,410.00 | 2,700.00 | +12.03% |
| Volume (MT) | 4.70 | 5.00 | +6.38% |
| EBITDA (₹ Cr.) | 258.00 | 384.00 | +48.84% |
| EBITDA Margin (%) | 10.70 | 14.22 | +352 bps |
| Premiumization (%) | 39.00 | 44.00 | +5.00% |
The company achieved its highest third-quarter consolidated volume of 5.00 million tonnes, representing a 6.38% increase year-on-year. This volume growth translated into strong revenue performance, with total income reaching ₹2,700.00 crores, marking a 12.03% improvement compared to Q3 FY25. The earnings met analyst expectations and surpassed the September quarter performance.
Exceptional Profitability and Margin Expansion
EBITDA performance stood out as a key highlight, surging 48.84% year-on-year to ₹384.00 crores from ₹258.00 crores in Q3 FY25. The EBITDA margin expanded significantly to 14.22% in Q3 FY26 from 10.70% in the corresponding quarter last year, reflecting a substantial improvement of 352 basis points.
The company maintained its industry-leading premiumization at 44% for consecutive quarters, achieving an all-time high for the second quarter in a row. This demonstrates sustained customer preference for premium products, with growing recognition for the Nuvoco Concreto and Nuvoco Duraguard franchises as preferred choices across building material applications.
Operational Excellence and Market Recovery
Despite early macroeconomic challenges from prolonged monsoon and festivities that softened demand in October and November, December saw healthy double-digit growth, demonstrating strong recovery momentum. The company's performance showcases operational excellence amid challenging market conditions.
| Performance Metric | Achievement |
|---|---|
| Q3 Volume Record | Highest Q3 cement sales at 5 MT |
| December Growth | Healthy double-digit growth |
| Premium Sustainability | 44% for second consecutive quarter |
| Market Position | Fifth-largest cement producer |
Strategic Capacity Expansion and Debt Management
Nuvoco Vistas is advancing ambitious expansion plans to increase annual capacity by 10 million tonnes to 35 MT by the next fiscal year. This expansion will be backed by a 4-million-tonne organic expansion in east India and the acquisition of Vadraj Cement in west India, which has a capacity of 6 million tonnes.
| Expansion Component | Capacity | Strategic Impact |
|---|---|---|
| East India Organic Expansion | 4 MT | Core market strengthening |
| Vadraj Cement Acquisition | 6 MT | West India entry |
| Total Target Capacity | 35 MT | Market leadership |
| West India Presence | 17% of capacity | Geographic diversification |
The company ended the December quarter with debt of ₹4,217.00 crores, up from ₹3,492.00 crores as of September-end, but down from ₹4,350.00 crores in December of the previous year. Over the medium term, the company will consider brownfield expansion at Chittorgarh, Rajasthan, and greenfield expansion at Gulbarga, Karnataka.
Management Commentary and Future Outlook
Jayakumar Krishnaswamy, Managing Director of Nuvoco Vistas Corporation, highlighted the company's resilience during challenging market conditions. "Despite early macroeconomic challenges from prolonged monsoon and festivities that softened demand in October and November, December saw healthy double-digit growth, demonstrating strong recovery momentum," he stated. "The company delivered its highest-ever third quarter volume and a 49% YoY rise in EBITDA, driven by a sustained focus on premiumisation and operational excellence."
Currently having presence only in east and north India, the Vadraj acquisition will provide Nuvoco with 17% of its capacity in west India, significantly enhancing its geographic footprint and market reach across the country.
Historical Stock Returns for Nuvoco Vistas Corporation
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -1.27% | -1.74% | -2.90% | -20.94% | -2.90% | -35.09% |
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