India Cements Q2 FY27 EBITDA up 34.3% to ₹148 crore

The India Cements Limited (NSE: INDIACEM)

reported Q2 FY27 operating EBITDA of ₹148 crore, up 34.3% year on year. Local cement sales volume rose 16.2% in the same quarter. Operating EBITDA is profit from core cement operations before interest, tax and depreciation. A 34.3% rise implies roughly ₹110 crore a year earlier. Profit grew at more than twice the pace of volume. My view: volume alone does not explain this. If it did, EBITDA would have grown close to 16%. The extra gain most likely comes from better realisation per tonne and lower freight and energy costs. The company has also pointed to waste heat recovery and renewable power as cost savers. The data I have does not split the gain between price and cost, so treat that split as my inference. Why it matters: higher operating profit improves cash flow and debt coverage. Southern markets are the company’s core, so the quarter shows demand turning into earnings there. What I am watching: - Petcoke and thermal coal prices. Imported fuel is the main swing factor for margins. - Demand after the monsoon period in southern regions. - Pricing pressure from new capacity in regional clusters. Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations.