Sagar Cements (502090) Q4 25/26 earnings summary

Executive summary

• FY26 revenue grew 17–20% year-over-year, with Q4 revenue up 20% YoY, driven by strong demand, especially in infrastructure and rural segments, and favorable pricing in non-trade segments.

• Sales volumes increased 11% for the year and 8% for the quarter, reaching 6.1 million tons, with trade sales accounting for 51% of FY26 volume.

• EBITDA more than doubled YoY, with Q4 FY26 EBITDA per ton at ₹445 and margin up 400 bps to 10%.

• Profit after tax for Q4 FY26 was ₹10,005 lakhs, reversing a loss in Q4 FY25; standalone net profit for FY26 was ₹4,361 lakhs.

• Minimum public shareholding in Andhra Cements completed via OFS, and board approved its amalgamation with the parent, pending regulatory approvals.

Financial highlights

• FY26 consolidated revenue: ₹2,65,002 lakhs (+17% YoY); Q4 FY26 revenue: ₹787 crore (+20% YoY, +33% QoQ).

• Q4 FY26 EBITDA per ton: ₹445 (+104% YoY); FY26 EBITDA: ₹29,199 lakhs (+107% YoY); FY26 EBITDA margin: 11% (+500 bps YoY).

• Q4 FY26 PAT: ₹10,005 lakhs (vs. loss of ₹7,305 lakhs in Q4 FY25); consolidated net loss for FY26 was ₹12,233 lakhs, improved from ₹21,668 lakhs in FY25.

• Gross debt as of March 31, 2026: ₹1,67,199 lakhs; net worth at ₹1,83,478 lakhs; debt-equity ratio at 0.74.

• Cash and bank balances were ₹107 crore (standalone); consolidated cash and cash equivalents at year-end: ₹352 lakhs.

Outlook and guidance

• FY27 volume guidance is 7 million tons, supported by plant upgrades and ramp-up at Jeerabad and Andhra Cements.

• Profitability expected to improve further due to cost efficiency initiatives, including WHRS, solar power, and logistics optimization.

• Management expects EBITDA per ton to approach ₹600 in FY27, assuming stable pricing.

• CapEx of ₹140 crore for Andhra, ₹33–120 crore for Jeerabad, and ₹17–45 crore for Gudipadu to be completed in FY27.

• Land monetization in Vizag expected to yield ₹350 crore over two years, with ₹150 crore in the first year.