Nuvoco Vistas Q3 FY26: Swings to ₹49 Cr Profit on Record Sales

Introduction

Nuvoco Vistas Corporation Ltd, a leading building materials company, announced a significant financial turnaround for the third quarter of fiscal year 2026. The company reported a consolidated net profit of ₹49 crore, reversing a loss of ₹61.4 crore from the same period last year. This improved performance was driven by record cement sales volume, robust revenue growth, and enhanced operational efficiencies that led to a substantial expansion in margins.

Return to Profitability

The quarter ending December 31, 2025, marked a crucial shift for Nuvoco Vistas. The consolidated profit of ₹49 crore stands in sharp contrast to the ₹61.4 crore loss posted in Q3 FY25. This turnaround highlights the company's resilience and its ability to navigate market challenges effectively. The positive bottom line was achieved despite macroeconomic headwinds, including a prolonged monsoon and festive season that initially softened demand in October and November.

Record Sales and Revenue Growth

A key driver of the financial recovery was the company's sales performance. Nuvoco Vistas achieved its highest-ever third-quarter cement sales volume, reaching 5 million tonnes (MT), which represents a 7% year-on-year increase. This strong volume growth translated directly into higher revenue. Revenue from operations for the quarter grew by 12% year-on-year to ₹2,701 crore, up from ₹2,409 crore in the corresponding quarter of the previous year. A strong recovery in demand during December provided significant momentum.

Operational Efficiency and Margin Expansion

The company's focus on operational excellence yielded impressive results. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) surged by 48.5% year-on-year to ₹383.8 crore, compared to ₹258.4 crore a year ago. Consequently, the EBITDA margin expanded significantly to 14.2%, a notable improvement from 10.7% in Q3 FY25. A major contributor to this was effective cost management, with the company achieving its lowest blended fuel cost in the last 17 quarters at ₹1.41 per Mcal.

Q3 FY26 Financial Highlights

Premiumisation Strategy Delivers Results

Nuvoco Vistas' strategic emphasis on premium products continued to strengthen its market position. The share of premium products in its portfolio remained at a historic high of 44% for the second consecutive quarter. This sustained momentum reflects growing brand traction for its Nuvoco Concreto and Nuvoco Duraguard franchises, which are increasingly recognized as preferred choices for various building applications. The Ready Mix Concrete (RMX) business also saw continued volume growth, supported by the launch of new specialized products like Concreto Tri Shield, designed to enhance structural lifespan.

Management Commentary

Jayakumar Krishnaswamy, Managing Director of Nuvoco Vistas Corp, commented on the performance, stating, "Despite early macroeconomic challenges from prolonged monsoon and festivities that softened demand in October and November, December saw healthy double-digit growth, demonstrating strong recovery momentum." He added, "The company delivered its highest-ever third quarter volume and a 50% YoY rise in EBITDA, driven by a sustained focus on premiumisation and operational excellence."

Strategic Expansion Plans

Looking ahead, Nuvoco Vistas is actively pursuing its strategic capacity expansion projects. The company is making progress with its expansion in the eastern region and with project execution at the recently acquired Vadraj Cement facilities. The operationalisation of the new clinker and grinding units is planned in phases, starting from the third quarter of FY27. These initiatives are expected to increase Nuvoco's total cement capacity to approximately 35 million tonnes per annum (MTPA), reinforcing its position as the fifth-largest cement group in India.

Market Reaction

Following the positive results, the market showed a steady response. On January 14, 2026, the shares of Nuvoco Vistas Corporation Ltd closed at ₹354.30 on the BSE, marking a modest increase of 0.40%.

Conclusion

Nuvoco Vistas' third-quarter performance demonstrates a strong operational and financial comeback. The return to profitability, fueled by record sales, margin expansion, and strategic focus on premium products, positions the company well for future growth. With significant capacity expansions underway, Nuvoco is on track to strengthen its market share and capitalize on the anticipated recovery in the construction and infrastructure sectors.