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The India Cements (INDIACEM) investor relations material

The India Cements Q1 25/26 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q1 25/26 earnings summary21 Jul, 2025

Executive summary

  • Cement demand remained steady, supported by government CapEx and infrastructure projects, with sales volume growth of 9.7% to 11.6% YoY in Q1 FY26 and strong performance in states like Bihar, Andhra, Gujarat, and Maharashtra.

  • Consolidated net sales were nearly flat YoY at around Rs.1,025 crores, with average capacity utilization at 61%.

  • EBITDA per ton improved sharply, rising to INR 400–424, and operational efficiency gains were supported by integration and cost controls.

  • Integration of India Cement and Kesoram is progressing, with India Cement on a recovery path and CapEx plans for efficiency and productivity improvements.

  • Losses narrowed significantly, with consolidated loss after tax before exceptional items at Rs.9.13 crores, down from Rs.182.21 crores YoY.

Financial highlights

  • Realizations for the UltraTech brand increased 2.2% sequentially, and cement realizations (net of logistics) improved 5.7% quarter-over-quarter.

  • Operating EBITDA for India Cement was INR 400–424 per ton, up from INR 88 in Q4 FY25.

  • CapEx during the quarter was around INR 2,000 crores, with annual guidance at INR 10,000 crores.

  • Finance costs reduced sharply to Rs.26.58 crores from Rs.82.36 crores YoY due to debt refinancing; average borrowing cost was 7%, expected to decline.

  • PAT before exceptions was a loss of Rs.241 crores, compared to a loss of Rs.182 crores in Q1 FY25.

Outlook and guidance

  • Double-digit volume growth targeted for FY26, with new capacities and further expansion planned.

  • Integration of India Cement and Kesoram expected to drive efficiency and profitability, with India Cement aiming for EBITDA per ton above INR 1,000 by FY28.

  • CapEx for the year is close to INR 10,000 crores, with further guidance to be provided for the next year.

  • Green power (RE + WHRS) targeted to scale from 5% to 86% by FY27, and productivity capex expected to yield benefits from Q4 FY27.

  • Profitability is expected to improve as capex benefits and synergies from the holding company materialize.

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