Star Cement Ltd reported robust FY26 results with a 131% surge in profit after tax to ₹390 crore. Revenue grew 19% to ₹3,776 crore, supported by a 2.0 MTPA capacity expansion. Investors should note the upcoming AGM on September 25, 2026, where the company will seek approval for director re-appointments and related party transactions.
Star Cement Reports Strong FY26 Growth
PAT at ₹390 crore, up 131% YoY; Revenue at ₹3,776 crore, up 19% YoY.
Reader Takeaway: Strong operational efficiency boosted margins, though rising industry competition and input costs remain key monitorables.
What just happened
Star Cement Ltd has released its FY 2025-26 performance and scheduled its 25th Annual General Meeting for September 25, 2026. The meeting will be conducted via Video Conferencing and Other Audio-Visual Means. The company reported significant growth across all key financial metrics, driven by strong demand in the North-East and expansion into Eastern markets.
Why this matters
Profitability more than doubled as EBITDA climbed 60% to ₹944 crore. This performance was underpinned by improved operating leverage, the use of waste heat recovery systems, and a 14% contribution from premium products in trade sales. The successful commissioning of the 2.0 MTPA Cachar grinding unit has increased total capacity to 9.67 MTPA.
Capacity and Strategy
The company is aggressively moving toward its target of 15 MTPA by FY 2028-29. Ongoing projects in Rajasthan and Haryana are central to this transformation from a regional player to a pan-India entity. Furthermore, the diversification into AAC blocks and Ready Mix Concrete is aimed at creating a broader building solutions portfolio.
Financial Health
Star Cement maintains a conservative balance sheet with a net debt of ₹317 crore and a net debt-to-EBITDA ratio well below 1.5x. Gross cash accruals stood at ₹756 crore, providing liquidity for future capital expenditures of ₹500-600 crore planned for the upcoming fiscal year.
Risks to watch
Management has flagged potential headwinds, specifically the volatility in input costs and a possible moderation in government incentives. Additionally, the broader cement industry faces rising competitive intensity due to ongoing capacity additions across the sector.
What to track next
Shareholders will vote on the re-appointment of directors Sajjan Bhajanka, Sanjay Agarwal, and Pankaj Kejriwal at the upcoming AGM. Investors should also monitor the progression of the Rajasthan and Haryana expansion projects and the scaling of the new non-cement building solutions business.