UltraTech Cement Shares Rise Post Q2 Financial Results

Cement Limited shares rose as much as 2% after the company reported a 21.3% year-on-year increase in consolidated net profit to Rs 1,501 crore for Q2 FY27. Consolidated net sales expanded 18.9% year-on-year to Rs 23,024 crore, supported by a 13.8% increase in domestic grey cement volumes to 35.94 million tonnes. Brokerage opinions remained divided on the stock outlook despite strong volume growth, as sequential fuel cost inflation weighed on operating margins. Grey cement fuel expenses increased 12% to 14% quarter-on-quarter, impacting EBITDA per tonne and prompting target price revisions from multiple research firms. Management highlighted that average trade prices recovered 7% to 10% per bag in late September, with spot realization gains expected to offset ongoing energy cost pressures in subsequent quarters.