ACC (ACC) Q2 26/27 earnings summary

Executive summary

• Q2 FY’27 cement sales volume was 16.5 MnT; operating highlights reported revenue of ₹9,197 crore, EBITDA of ₹1,271 crore and PAT of ₹236 crore, with EBITDA down 28% YoY amid geopolitical cost pressures.

• Separate consolidated financial statements reported Q2 revenue of ₹5,656 crore and PAT of ₹93 crore; prior-year tax write-backs materially affected profit comparisons.

• Value-led growth, improving trade mix and an expanding capacity pipeline were key operating priorities; the debt-free position was maintained.

Financial highlights

• Operating highlights cited Q2 sales volume of 16.5 MnT, revenue of ₹9,197 crore, EBITDA of ₹1,271 crore and PAT of ₹236 crore; EBITDA margin was 13.8% and EBITDA per tonne ₹770.

• Excluding geopolitical impacts, EBITDA per tonne was ₹998 and margin 17.9%; reported Q2 PAT was ₹236 crore versus normalized PAT of ₹300 crore.

• Consolidated financial statements separately reported Q2 revenue of ₹5,656 crore, PBT of ₹124 crore and PAT of ₹93 crore, including ₹71 crore of exceptional expense.

• H1 financial statements reported revenue of ₹11,456 crore, PAT of ₹240 crore and ₹95 crore of VSS termination costs; prior-year tax write-backs significantly affected comparisons.

• Q2 total cost was ₹4,410 per tonne, including an estimated ₹228 per tonne geopolitical impact; normalized cost excluding geopolitical-conflict impacts was ₹4,182 per tonne.

Outlook and guidance

• H2 FY’27 volume growth is expected to exceed industry growth; management targets higher-single-digit growth and aspires to double-digit growth.

• Cost targets are ₹4,250 per tonne in FY’27 and ₹4,000 in FY’28; green power, BCFC, WHRS, alternative fuels and domestic coal are identified as cost levers.

• Capacity roadmap targets 149 MTPA, with debottlenecking expected to raise capacity to 155 MTPA; FY’27 exit utilization is expected near 75%.

• Premium cement share target is 40% of trade sales; profitability gains are expected from trade mix and cost optimization.