🧱 Shree Cement Q1 FY26: Strong Profit Growth, But Revenue Lacks Momentum

Beawar, August 4, 2025 – Shree Cement has delivered an impressive 95% jump in net profit for Q1 FY26, but a closer look shows that revenue growth remains modest, up just 2% year-on-year. The real story lies in better margins and cost efficiency, rather than volume-led growth. 📊 Key Financial Highlights (Standalone) Revenue: ₹4,948 Cr (↑ 2%) EBITDA: ₹1,229 Cr (↑ 34%) Net Profit: ₹619 Cr (↑ 95%) Estimated EPS: ~₹178/share Sales Volume: 89.5 lakh tonnes Cash Profit: ₹1,161 Cr (↑ 24%) 💡 EPS gain looks impressive, but is more due to margin expansion than topline acceleration. ✅ What Worked This Quarter Operational efficiency improved significantly Higher share of premium products boosted margins UAE business turnaround: EBITDA jumped 397% YoY Disciplined cost management and pricing control Strong focus on sustainability and green power usage (65.65%) ⚠️ What Needs Attention Revenue growth was only 2% — well below expectations in a growing sector Volume growth was stable, but not spectacular Company may need to push harder on market share gains and topline drivers 🏗️ Expansion Plans Two new cement plants (Rajasthan and Karnataka) progressing on schedule Capacity to reach 68.8 MTPA, with target of 80 MTPA by FY28 RMC expansion gaining speed: from 15 to 21 plants so far, aiming for 50 this year 🌱 Sustainability Milestones Green energy is now 65.65% of total electricity use 100% Zero Liquid Discharge achieved Heavy use of agro & hazardous waste saved ~83 billion kCal Raipur lab NABL certified, gaining global quality credibility Recognized as India’s Most Sustainable Cement Company (2025) 🗣️ MD’s Commentary “The results show our team’s commitment to performance, sustainability, and long-term value creation.” – Neeraj Akhoury, Managing Director 📌 Final Word A strong quarter on margins, a sustainable business model, and serious long-term planning are in place. Now, the market will watch for revenue acceleration and volume leadership.