Whalesbook
Strong Financial Results
UltraTech Cement reported consolidated EBITDA of ₹56 billion, up 21% year-on-year and 43% quarter-on-quarter. This figure largely met analyst expectations. Its domestic grey cement segment achieved 9.3% volume growth, outpacing the industry's approximate 7% expansion and signaling continued market share gains.
Cost Control and Pricing Strength
Operating costs held steady year-on-year and fell 2% sequentially, despite an estimated ₹50 per tonne impact from the US-Iran conflict. This cost discipline stems from the swift integration of recently acquired assets. Better pricing in the non-trade segment, combined with the full brand transition of acquired entities, lifted grey cement realizations by about 2.5% quarter-on-quarter. As a result, EBITDA per tonne reached ₹1,253, exceeding analyst estimates and prior quarters.
Expansion Plans and Analyst Support
UltraTech Cement is firmly on track to reach over 240 million tonnes per annum (mtpa) capacity by FY28. Analysts see the company as a strong investment amid market volatility, positioning it as a key player in India's infrastructure development. Emkay Global Financial reiterated its confidence in UltraTech Cement's ability to achieve cost savings and maintain its market leadership.
Analyst Outlook and Rating
Emkay Global Financial raised its FY27 EBITDA forecast by about 11%, citing the company's balanced guidance on costs and volumes. The ₹13,000 price target is maintained, based on a valuation of 18 times March 2028 estimated EV/EBITDA. The firm maintains its BUY recommendation.