UltraTech Cement , India's leading cement manufacturer, has reported a remarkable financial performance for the second quarter, showcasing robust growth across key metrics. The company's results reflect a significant improvement in profitability and operational efficiency.

Financial Highlights

Profit and Revenue Growth

UltraTech Cement has delivered a stellar performance with its consolidated net profit rising to ₹12.30 billion, marking a substantial 75.7% increase from ₹7.00 billion in the same quarter of the previous year. This impressive growth in profitability underscores the company's ability to capitalize on market opportunities and manage costs effectively.

The company's revenue also saw a significant uptick, reaching ₹196.00 billion compared to ₹162.90 billion in the corresponding period last year, representing a 20.3% year-on-year growth. This robust revenue performance indicates strong demand for UltraTech's products and potentially an increase in market share.

Operational Efficiency

UltraTech Cement's operational efficiency showed marked improvement, as evidenced by its EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) figures. The EBITDA grew substantially to ₹30.95 billion from ₹20.18 billion year-on-year, reflecting a 53.4% increase.

Margin Expansion

Perhaps one of the most notable aspects of UltraTech's Q2 results is the significant expansion in its EBITDA margin. The company's EBITDA margin increased to 15.79% from 12.91% in the previous year's corresponding period, representing an improvement of 288 basis points. This margin expansion suggests enhanced cost management and operational efficiencies, contributing to the company's overall profitability.

The robust quarterly performance of UltraTech Cement indicates the company's strong positioning in the market and its ability to navigate challenges while delivering value to its stakeholders. As the construction and infrastructure sectors continue to play a crucial role in India's economic growth, UltraTech's results may be seen as a positive indicator for the broader cement industry.

UltraTech Cement , the flagship company of the Aditya Birla Group, has reported robust financial results for the second quarter of fiscal year 2026, alongside an ambitious capacity expansion plan. The company's performance underscores its strong market position and commitment to future growth in India's burgeoning cement sector.

Q2 FY26 Financial Highlights

UltraTech Cement's consolidated net sales for Q2 FY26 stood at ₹19,371.00 crores, marking a significant 21.3% increase from ₹15,967.00 crores in the corresponding quarter of the previous year. The company's profit before interest, depreciation, and tax (PBIDT) rose to ₹3,268.00 crores, up from ₹2,253.00 crores in Q2 FY25. Notably, profit after tax (PAT) surged by 75% to ₹1,232.00 crores, compared to ₹703.00 crores in the same period last year.

Operational Performance

The company achieved a remarkable 22.3% growth in domestic grey cement sales, excluding volumes from recently acquired India Cements and Kesoram assets. This growth significantly outpaced the industry's expected growth of around 5% for the same period, highlighting UltraTech's strong market performance.

Energy costs decreased by 7% year-over-year, while raw material costs increased by 5% due to higher prices of flyash and slag. The operating EBITDA per ton for UltraTech's existing assets (166.76 mtpa capacity) reached ₹966.00.

Capacity Expansion Plan

In a strategic move to reinforce its market leadership, UltraTech Cement has announced a substantial capacity expansion plan. The company's Board of Directors has approved a capital expenditure of ₹10,255.00 crores to increase its cement production capacity by 22.8 million tonnes per annum (mtpa). This expansion includes:

• A mix of brownfield and greenfield projects across the country
• Capacity additions for UltraTech and its subsidiary, India Cements Limited
• Phased implementation starting from FY28 onwards

Upon completion, this expansion will elevate UltraTech's total cement capacity to 240.76 mtpa globally, further solidifying its position as the second-largest cement company worldwide by capacity, excluding China.

Sustainability Initiatives

UltraTech continues to make strides in sustainability:

• Operationalized a 7.5 MW round-the-clock (RTC) hybrid renewable energy project at Sewagram Cement Works, Gujarat
• Commissioned 9 MW of waste heat recovery system (WHRS) capacity
• Increased the share of green power (including WHRS and renewable energy) to 41.6% of its total power mix

Management Commentary

Mr. Kumar Mangalam Birla, Chairman of the Aditya Birla Group, commented on the expansion plan: "This latest capacity expansion follows more than ₹50,000 crores invested over the past five years, underscoring deep and sustained confidence in the Indian economy and the scale of its infrastructure ambitions. As India enters a transformative era of infrastructure and economic development, UltraTech is well-positioned to meet the rising demand for cement and contribute meaningfully to the nation's journey towards Viksit Bharat 2047."

The company's strong Q2 performance and ambitious expansion plans reflect its optimism about India's economic growth trajectory and its commitment to maintaining its leadership in the cement industry. As infrastructure development continues to be a key focus for India, UltraTech Cement appears well-positioned to capitalize on the growing demand for building materials in the coming years.