UltraTech Cement Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript UltraTech Cement Ltd filed with BSE on 23 Jul 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
UltraTech reported its highest-ever first quarter across volumes, revenues, EBITDA and profit, with domestic grey cement volume growth of 13.1% and capacity utilization rising to 81% from 76%. EBITDA reached Rs 5,146 crores and PAT was Rs 2,604 crores, up 17.2% year-on-year, while management described absorbing higher imported fuel costs during the quarter. Management also detailed brand conversion of the Kesoram and India Cements assets to the UltraTech brand, progress on the Cables and Wires project, and capacity expansion plans toward 240 million tons.
Numbers mentioned
Domestic grey cement volume growth: 13.1% (Q1 FY27)
p. 4
“we grew about 13.1% in volume terms for the domestic markets”
Atul Daga, page 4 of the filed PDF · View the filing
Capacity utilization: 81% (Q1 FY27)
p. 4
“Capacity utilization was stronger at 81% as compared to 76%”
Atul Daga, page 4 of the filed PDF · View the filing
EBITDA: Rs 5,146 crores (Q1 FY27)
p. 4
“EBITDA of INR5,146 crores and PAT of INR2,604 crores which was up 17.2% over the last year same period”
Atul Daga, page 4 of the filed PDF · View the filing
Revenue growth: 16% (Q1 FY27)
p. 4
“Revenues grew 16%, EBITDA rose 12% and ever highest INR5,000 crores plus EBITDA for April-June quarter, profits rose about 17%”
Atul Daga, page 4 of the filed PDF · View the filing
Operating EBITDA per ton: above INR1,200 (Q1 FY27)
p. 4
“Operating EBITDA per ton has been steady above INR1,200 this quarter as well”
Atul Daga, page 4 of the filed PDF · View the filing
Green power share of total power requirement: 47% (Q1 FY27)
p. 5
“we have exited the quarter with 47% of our power being met by renewable sources, which are cheaper also”
Atul Daga, page 5 of the filed PDF · View the filing
Cement lead distance: 360 kilometres (Q1 FY27)
p. 5
“cement lead distance for this quarter has come down to 360 kilometres”
Atul Daga, page 5 of the filed PDF · View the filing
Domestic capacity: 200.1 million tons (Q1 FY27)
p. 5
“tweaking our domestic capacity to 200.1 million tons and total capacity to 205.5 million tons”
Atul Daga, page 5 of the filed PDF · View the filing
Net debt to EBITDA: 0.87x (Q1 FY27)
p. 6
“the quarter, we have ended with 0.87x net debt to EBITDA”
Atul Daga, page 6 of the filed PDF · View the filing
India Cements EBITDA per ton: INR603 per ton (Q1 FY27)
p. 6
“India Cements' EBITDA per ton has climbed from roughly INR386 per ton in Q2FY26 to INR400 to INR509 and INR603 this quarter”
Atul Daga, page 6 of the filed PDF · View the filing
Fuel cost per ton: INR915 per ton (Q1 FY27)
p. 9
“Fuel cost, it's given in the presentation, from INR874, it went to INR915 per ton, which is a 5% increase”
Atul Daga, page 9 of the filed PDF · View the filing
Blended coal cost: USD134 per ton (Q1 FY27)
p. 14
“USD134 per ton”
Atul Daga, page 14 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Grey cement volume growth — double-digit growth · FY27
stated firmly by Atul Daga
p. 16
“Yes, we are targeting double-digit volume growth this year.”
Atul Daga, page 16 of the filed PDF · View the filing
Net debt to EBITDA — below 1x · FY27
stated firmly by Atul Daga
p. 6
“Our belief is, and we are confident that this year also, we'll end the net debt to EBITDA below 1x.”
Atul Daga, page 6 of the filed PDF · View the filing
Cables and Wires commissioning and product launch — commissioning and launch · Q3 FY27, October-December '26
stated firmly by Atul Daga
p. 7
“We reaffirm commissioning and product launch in Q3 fiscal '27, October - December '26 quarter, precisely as committed to you when we announced this investment.”
Atul Daga, page 7 of the filed PDF · View the filing
India Cements EBITDA per ton — INR1,000 per ton · with full capex benefit flowing through by Q4 FY28
stated conditionally by Atul Daga
p. 6
“the destination is unchanged, and EBITDA of INR1,000 per ton for India Cements remains very much in sight with the full benefit of the capex program flowing through the P&L from Q4 fiscal '28”
Atul Daga, page 6 of the filed PDF · View the filing
Grey cement capacity in India — 212.7 million tons · end of FY27
stated firmly by Atul Daga
p. 6
“We'll take our consolidated capacity beyond 242 million tons with grey cement capacity to reach 212.7 million tons by the end of fiscal '27 and further balance to be completed in the next year.”
Atul Daga, page 6 of the filed PDF · View the filing
India capacity — 235 million tons · March '28
stated firmly by Atul Daga
p. 17
“March '28 we should exit with 235 million tons in India.”
Atul Daga, page 17 of the filed PDF · View the filing
Green power capacity — 2.5 to 3 gigawatts · near term
stated as an aspiration by Atul Daga
p. 6
“We believe we will reach anywhere between 2.5 to 3 gigawatts very shortly.”
Atul Daga, page 6 of the filed PDF · View the filing
India Cements green power share — 86% of power requirements · end of FY28
stated firmly by Atul Daga
p. 6
“a step change in the green power trajectory from around 3% of their power requirements to about 86% of their power requirements by the end of fiscal '28”
Atul Daga, page 6 of the filed PDF · View the filing
Cost pressure next quarter — INR130 to INR140 per ton · Q2 FY27
stated firmly by Atul Daga
p. 9
“I would expect the cost to go up by INR130 to INR140 per ton, all put together.”
Atul Daga, page 9 of the filed PDF · View the filing
Industry volume growth — 7% to 8% · current quarter
stated conditionally by Atul Daga
p. 13
“Too early, but anywhere between 7% to 8%. We want to see some more results. But our marketing intel says it should be around 7% to 8%.”
Atul Daga, page 13 of the filed PDF · View the filing
UltraTech EBITDA per ton target — INR1,400 per ton · January-March '28 quarter
stated conditionally by Atul Daga
p. 17
“I have already called it out n number of times. There's no point in repeating it. January-March '28 quarter without any war.”
Atul Daga, page 17 of the filed PDF · View the filing
India second half variable costs — H2 FY27
stated conditionally by Atul Daga
p. 16
“Once the war is out of the way, things should stabilize and H2 hopefully, God willing, should be a better place in terms of cost.”
Atul Daga, page 16 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said all operating cash flow will be reinvested in growth and dividends, with no further investment planned in cables and wires for now.
Answered by Atul Daga
Asked by Amit Murarka: How will growing operating cash flow be allocated across capex, dividends, and further building materials investment?
p. 7
“As of now, we are fully booked in terms of our cash flows. All the operating cash flows will get ploughed back into growth.”
Atul Daga, page 7 of the filed PDF · View the filing
Management said the capex program must be completed and non-core land assets disposed of before considering a merger.
Answered by Atul Daga
Asked by Amit Murarka: What steps remain before India Cements could be merged into the standalone entity?
p. 7
“There is a capex program underway, which we mentioned has to get completed. There are some non-core assets in terms of land, which we need to dispose of.”
Atul Daga, page 7 of the filed PDF · View the filing
Management guided to an incremental cost increase of INR130-140 per ton for the quarter.
Answered by Atul Daga
Asked by Rahul Gupta: What is the expected cost impact for the July-September quarter from the West Asia crisis?
p. 9
“I would expect the cost to go up by INR130 to INR140 per ton, all put together.”
Atul Daga, page 9 of the filed PDF · View the filing
Management noted some states remain dry and could face water crisis issues affecting demand next year, but most states have seen rains.
Answered by Atul Daga
Asked by Indrajit Agarwal: Will the drier weather in June hurt rural demand in the second half?
p. 9
“Rajasthan is going through a very dry patch right now. So that demand impact will be felt next year because they will have water crisis.”
Atul Daga, page 9 of the filed PDF · View the filing
Management said structural changes including land reforms would drive an East demand upcycle over the next several years.
Answered by Atul Daga
Asked by Indrajit Agarwal: Is there a step change coming in East region demand?
p. 10
“East will witness good demand upcycle.”
Atul Daga, page 10 of the filed PDF · View the filing
Management said East grew slowest due to elections and labor availability, South and North were slightly below 15%, West and Central above 15%.
Answered by Atul Daga
Asked by Prateek Kumar: Can you break down capacity utilization and demand growth by region?
p. 11
“East was the slowest in April, June quarter, partly because of the elections, labor availability. South and North were a shade below 15%. West and Central were above 15%.”
Atul Daga, page 11 of the filed PDF · View the filing
Management attributed the spike primarily to a large increase in industrial diesel prices.
Answered by Atul Daga
Asked by Siddharth Mehrotra: Why have limestone raising costs spiked so sharply quarter-on-quarter?
p. 12
“industrial diesel went up almost 50% from INR100 per liter to INR157.”
Atul Daga, page 12 of the filed PDF · View the filing
Management estimated industry volume growth around 7-8% and gave coal cost figures for the quarter and current period.
Answered by Atul Daga
Asked by Raashi: Is industry volume growth expected to be higher, and what was blended coal cost this quarter versus current?
p. 14
“USD134 per ton.”
Atul Daga, page 14 of the filed PDF · View the filing
Management said river bank and concrete structure construction would make such projects cement-intensive.
Answered by Atul Daga
Asked by Pulkit Patni: How cement-intensive are river-linking projects like Ken-Betwa likely to be?
p. 15
“river banks have to be built, which is concrete. And with the river banks being built, you have concrete structures on the either sides as well. So, we expect it to be very cement happy situation.”
Atul Daga, page 15 of the filed PDF · View the filing
Management said the Board looks at dividends as a percentage of profits and expects good dividends.
Answered by Atul Daga
Asked by Ashish Jain: How should dividend policy be thought about given last year included a one-off?
p. 15
“Percentage of profits, that's the way our Board is looking at it.”
Atul Daga, page 15 of the filed PDF · View the filing
Management confirmed a target of double-digit volume growth for the year.
Answered by Atul Daga
Asked by Pinakin: Can double-digit grey cement volume growth be expected for FY27 given the acceleration seen?
p. 16
“Yes, we are targeting double-digit volume growth this year.”
Atul Daga, page 16 of the filed PDF · View the filing
Management said working capital would initially be elevated during ramp-up before stabilizing to around 30 days.
Answered by Atul Daga
Asked by Ritesh Shah: What working capital days are expected for the Cables and Wires business?
p. 17
“excuse me for having a higher working capital for the next six months after which we start stabilizing and coming down to 30 days plus-minus of working capital.”
Atul Daga, page 17 of the filed PDF · View the filing
Management reiterated the January-March 2028 quarter as the target, assuming no war-related disruption.
Answered by Atul Daga
Asked by Ritesh Shah: When is the INR1,400 per ton EBITDA figure expected, absent war-related disruption?
p. 17
“January-March '28 quarter without any war.”
Atul Daga, page 17 of the filed PDF · View the filing
Risks flagged
Imported fuel cost shock from West Asia conflict
p. 4
“We have absorbed and are absorbing the sharpest imported fuel cost shock in recent memory”
Atul Daga, page 4 of the filed PDF · View the filing
Ongoing uncertainty from West Asia crisis
p. 5
“Things are still uncertain, but we are focused on achieving our targets.”
Atul Daga, page 5 of the filed PDF · View the filing
Dry weather conditions in some states could hurt rural demand later
p. 9
“Rajasthan is going through a very dry patch right now. So that demand impact will be felt next year because they will have water crisis.”
Atul Daga, page 9 of the filed PDF · View the filing
Rising industrial diesel and fuel costs increasing raw material costs
p. 12
“industrial diesel went up almost 50% from INR100 per liter to INR157.”
Atul Daga, page 12 of the filed PDF · View the filing
Rising ocean freight insurance premiums due to the war
p. 16
“insurance premiums have gone up to 4%-5% for the ocean route as compared to less than 1%.”
Atul Daga, page 16 of the filed PDF · View the filing
Potential slowdown in demand as the primary industry challenge
p. 11
“the biggest challenge for the industry and for us would be if demand slows down, which I don't foresee happening.”
Atul Daga, page 11 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.