$RAMCOSYS Ramco Cements reported a strong Q4 FY26 performance

Ramco Cements reported a strong Q4 FY26 performance with net profit surging over 372% YoY to ₹146.4 crore, aided by exceptional items of ₹74.2 crore. Revenue grew 9% to ₹2,606 crore, while EBITDA rose 16% to ₹373 crore, though margins were slightly below estimates. The company declared a dividend of ₹2.50 per share. Ramco Cements Q4 FY26 Highlights Net Profit: ₹146.4 crore vs ₹31 crore last year (+372% YoY). Revenue: ₹2,606 crore (+9% YoY). EBITDA: ₹373 crore (+16% YoY), margin at 14.3% (vs 13.4% last year, but below Street estimate of 15.7%). Exceptional Items: ₹74.2 crore boosted profitability. Dividend: ₹2.50 per share declared. Volumes: 18.81 million tonnes (marginal growth of 2%). Capacity Utilisation: 74% (down from 77% due to new 2 MTPA capacity addition). 📈 Full-Year FY26 Performance Net Revenue: ₹9,056 crore (+6% YoY). PAT: ₹694 crore (+66% YoY). EBITDA: ₹1,482 crore (+16% YoY). EBITDA per tonne: ₹788 vs ₹690 in FY25. Construction Chemicals: Revenue grew 66% YoY, becoming a key growth driver. Debt Reduction: Borrowings reduced to ₹3,852 crore; Net Debt/EBITDA improved to 2.47x from 3.51x. Asset Monetization: ₹1,098 crore raised over two years from non-core asset sales. 🔑 Strategic Outlook Capex Guidance FY27: ~₹800 crore, focused on capacity expansion to ~31 MTPA. Projects: Brownfield expansion at Kolimigundla, WHRS (15 MW) commissioning, and Kiln Line-2 expected in FY27. Green Energy: 40% of electricity consumption powered by renewables in FY26. Challenges: Higher raw material costs due to Tamil Nadu’s mineral-bearing land tax (impact ~₹86 per tonne).