UltraTech Cement Q3 FY26 Profit Rises 27%, Beats Street Estimates

UltraTech Cement Ltd, India’s largest cement manufacturer, delivered a robust set of financial results for the third quarter of FY26, comfortably beating market expectations. The company reported a consolidated net profit of Rs 1,729 crore, marking a 27 percent increase compared with Rs 1,363 crore recorded in the corresponding quarter last year. The performance came in well above Street estimates, reflecting improved operational efficiency and healthy demand momentum.

Revenue for the quarter rose 23 percent year on year to Rs 21,830 crore, supported by higher sales volumes and better realisations. Consolidated net sales stood at Rs 21,506 crore, up from Rs 17,555 crore in the same period last year. Despite a competitive pricing environment in certain regions, UltraTech managed to sustain growth through a balanced mix of volume expansion and cost optimisation initiatives.

Earnings before interest, depreciation, tax and amortisation showed strong traction during the quarter. EBITDA increased 35.2 percent to Rs 3,915 crore, compared with Rs 2,895 crore in Q3 FY25. The EBITDA margin improved to 17.94 percent from 16.28 percent a year ago, underscoring the company’s ability to manage input costs and logistics expenses effectively. Operating EBITDA per tonne, excluding India Cements, rose to Rs 1,051 from Rs 911, indicating improved operating leverage.

During the quarter, UltraTech recorded a 15 percent year-on-year growth in consolidated cement sales volumes. Capacity utilisation improved to 77 percent from 72 percent in the previous period, reflecting better plant efficiency and demand recovery across markets. Domestic grey cement volumes witnessed strong growth, while the UltraTech brand benefited from product quality enhancements and integrated marketing and logistics following recent acquisitions.

The quarterly results also included a one-time exceptional expense of Rs 88 crore related to additional gratuity and leave encashment obligations arising from the implementation of the new Labour Code, effective November 21, 2025. Despite this impact, profit before interest, depreciation and tax rose to Rs 4,051 crore, highlighting the underlying strength of the company’s core operations.

Going ahead, UltraTech Cement remains optimistic about demand prospects, supported by sustained infrastructure spending, housing activity and government-led capital expenditure. The company continues to focus on operational efficiency, capacity expansion and cost discipline to maintain profitability in a dynamic market environment.