Ultratech Cement drops despite strong quarterly earnings

Ultratech Cement fell 2.69% to Rs 10,634, despite reporting strong financial results for the second quarter of FY27.

The company?s consolidated net profit jumped 21.29% to Rs 1493.77 crore in Q2 FY27 compared with Rs 1231.58 crore in Q2 FY26. Revenue from operations increased 18.81% YoY to Rs 23,295.07 crore in Q2 FY27.

Profit before exceptional items, share of profit or loss of associates and joint ventures, and tax expense increased 25.62% to Rs 2,087.08 crore from Rs 1,661.51 crore a year earlier. The company reported an exceptional loss of Rs 6.29 crore and a share of loss of Rs 2.21 crore from associates and joint ventures during the quarter.

Profit before interest, depreciation and tax (PBIDT) grew 17.3% YoY to Rs 3,832 crore in Q2 FY27, compared with Rs 3,268 crore in Q2 FY26.

UltraTech Cement delivered a strong operational performance despite challenges arising from monsoon-related disruptions and the ongoing West Asia crisis. Domestic grey cement sales volumes increased 13.8% YoY to 35.94 million tonnes from 31.58 million tonnes in the year-ago quarter. Capacity utilisation improved to 71% from 66% over the same period last year. The company attributed its performance to disciplined execution, an expanded market presence, cost optimisation and a greater focus on premium products.

During the quarter, UltraTech launched Ultravolt, its wires and cables business, expanding its building products portfolio. The company has commissioned a state-of-the-art manufacturing facility at Jhagadia, Gujarat, and is developing a pan-India distribution network. Its planned capacity, involving the consumption of 78,000 tonnes of copper and 24,000 tonnes of aluminium, positions it as the second-largest player by capacity in the housing wires segment, according to the company. The launch received a positive response from retailers, electricians and industry influencers, the company said.

As of 30 September 2026, UltraTech's consolidated domestic grey cement capacity stood at 204.7 million tonnes per annum (mtpa). Including 5.4 mtpa of overseas capacity, its global grey cement capacity reached 210.1 mtpa. The company remains on track to expand its capacity to more than 240 mtpa by March 2028 under its organic capital expenditure programme.

UltraTech Cement is the cement flagship company of the Aditya Birla Group. It is the largest cement producer in the world by sales volume, outside of China. The company has a total Grey Cement capacity of 210.1 MTPA and White Cement/Putty capacity of 3.5 MTPA.

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