UltraTech Cement Q2 FY27 profit up 21%, revenue +19%

Oct 19, 2026•3 min read

UltraTech Cement Ltd

ULTRACEMCO

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The quarter in focus

UltraTech Cement reported a year-on-year improvement in earnings for the second quarter of FY27, even as investors track how monsoon seasonality and cost inflation shape near-term margins. Consolidated net profit for the July-September quarter rose 21.3% to ₹1,493.8 crore, compared with about ₹1,231.5 crore a year earlier. Revenue from operations increased 18.8% to ₹23,295.1 crore, against roughly ₹19,608.7 crore in the corresponding quarter last year. The update adds a fresh data point after the company’s record Q1 FY27, which had been driven by volume gains and firm pricing. The company has also scheduled a board meeting on October 19, 2026, to consider and disclose its Q2 financial results, reinforcing the reporting timeline.

Q2 FY27 headline numbers

The Q2 FY27 print showed strong year-on-year growth on both profit and revenue. Net profit at ₹1,493.8 crore and revenue from operations at ₹23,295.1 crore indicate that UltraTech’s topline momentum continued from earlier quarters. The year-ago base numbers were about ₹1,231.5 crore of net profit and ₹19,608.7 crore of revenue from operations. While the data shared is limited to headline financials, the growth rates suggest a combination of demand and pricing remained supportive through the quarter. The quarter is typically influenced by monsoon-led seasonality in parts of India, a factor management has referenced in other FY27 commentary.

Q1 FY27 context: volumes, utilisation, and record profitability

UltraTech Cement’s Q1 FY27 performance provides important context for how the company entered the July-September period. In Q1 FY27, the company reported net profit (PAT) of about ₹2,604 crore, up 17.2% year on year, alongside EBITDA of about ₹5,146 crore, up 12%. Consolidated sales volume for Q1 FY27 was 41.31 million tonnes, a 12.2% year-on-year increase. Capacity utilisation improved to 81% from 76% in the prior-year period, supported by demand across infrastructure, housing, and urban real estate segments. Revenue from operations for Q1 FY27 was reported at about ₹24,648.2 crore, with some datasets also referencing total income of ₹24,778.47 crore.

Broker take: Prabhudas Lilladher stays constructive

Prabhudas Lilladher’s July 21, 2026 Q1 FY27 result update described UltraTech Cement’s operating performance as in line, supported by healthy volume growth and improved pricing. The brokerage retained its BUY recommendation and maintained its FY27E and FY28E estimates, as per the note. The update also provided a comparison of actuals versus estimates for key operating metrics, including revenue, volumes, realisations, EBITDA and margins. In Q1 FY27, the company delivered consolidated revenue of ₹24,648.2 crore (₹2,46,482 million), above the PL estimate of ₹23,190.9 crore (₹2,31,909 million). Consolidated EBITDA was ₹5,015.5 crore (₹50,155 million), described as 2.2% above estimate, while EBITDA margin stood at 20.3%, down 38 basis points year on year.

Demand drivers and regional pricing

For Q1 FY27, consolidated volume growth was described as being driven by housing and rural demand. The company also highlighted constructive demand from infrastructure, housing, commercial real estate and urban redevelopment. Management estimated industry demand growth at about 7% to 8% in Q1 FY27, with UltraTech outperforming the industry. On pricing, average blended realisation increased 3.3% year on year and 3.4% quarter on quarter in Q1 FY27, reflecting cement price increases across regions. Domestic grey-cement sales volume grew 12.7% year on year in Q1 FY27 after adjusting for India Cements inter-company volumes.

Costs, margins, and Q2 cost inflation guidance

Margin performance is closely linked to energy, fuel, and raw material trends in cement. Management guided for cost inflation of about ₹130 to ₹140 per tonne in Q2 FY27, citing fuel, maintenance shutdowns and seasonality. It also said cement pricing is expected to remain broadly stable during the monsoon, while noting that sustained recent price hikes matter for margins. In Q1 FY27, the company indicated that fuel cost per tonne rose 5% year on year and quarter on quarter. Raw material cost per tonne increased 9% year on year and 4% quarter on quarter, attributed to higher diesel prices and changes linked to clinker conversion.

India Cements and Kesoram integration milestones

The broader UltraTech group narrative in FY27 has included brand and operational integration initiatives. The India Cements and Kesoram brand conversion was completed ahead of schedule, according to the information shared. India Cements’ Q1 FY27 volume grew 18% year on year to 2.58 million tonnes, while EBITDA per tonne improved to ₹604. Separately, India Cements Ltd reported net profit of ₹38.82 crore for the September quarter, up from ₹8.81 crore in the previous year. These data points indicate a sharp year-on-year improvement at the subsidiary level during the same quarter in which UltraTech’s consolidated Q2 profit and revenue rose.

Capacity build-out and capex roadmap to FY28

UltraTech has outlined a large investment plan aimed at expanding capacity. The company plans capex of about ₹17,000 crore (₹1,70,000 million) over the next 2 to 2.5 years to reach roughly 242 to 242.5 million tonnes per annum of capacity by FY28, supported by limestone reserves. It also noted that domestic capacity reached about 200.1 million tonnes after commissioning 8.7 million tonnes of new capacity at Shahjahanpur, Visakhapatnam, and Patratu during Q1 FY27. Within the group, management also planned around ₹2,000 crore (₹20,000 million) of India Cements capex for waste-heat recovery, preheater and cooler upgrades, and renewable energy.

Key numbers at a glance

Metric (as reported in inputs)	Period	Value	YoY change / note
Consolidated net profit	Q2 FY27	₹1,493.8 crore	Up 21.3% (from ~₹1,231.5 crore)
Revenue from operations	Q2 FY27	₹23,295.1 crore	Up 18.8% (from ~₹19,608.7 crore)
Revenue from operations	Q1 FY27	₹24,648.2 crore	Up 15.9%
Consolidated volume	Q1 FY27	41.31 million tonnes	Up 12.2%
Average blended realisation	Q1 FY27	₹5,967 per tonne	Up 3.3%
Consolidated EBITDA	Q1 FY27	₹5,015.5 crore	Up 13.7% (PL note); also cited ₹5,146 crore elsewhere
EBITDA margin	Q1 FY27	20.3%	Down 38 bps
Cost inflation guidance	Q2 FY27	₹130-₹140 per tonne	From fuel, shutdowns, seasonality
Planned capex	Next 2-2.5 years	₹17,000 crore	Target capacity ~242-242.5 mtpa by FY28

What investors will watch next

UltraTech Cement has scheduled a board meeting on October 19, 2026, to consider its Q2 financial results, confirming when the quarter’s performance will be reviewed and disclosed. Alongside reported Q2 headline growth, the market will track commentary on demand during and after the monsoon period, and whether recent price increases sustain. Guidance around cost inflation of ₹130 to ₹140 per tonne in Q2 FY27 will remain central to margin expectations. Investors are also likely to monitor execution on the ₹17,000 crore capex plan and the pathway to roughly 242 million tonnes of capacity by FY28.

Conclusion

UltraTech Cement’s Q2 FY27 results showed a clear year-on-year rise in profit and revenue, with consolidated net profit at ₹1,493.8 crore and revenue from operations at ₹23,295.1 crore. The quarter follows a record Q1 FY27 marked by strong volumes, improved utilisation and supportive pricing. Broker commentary has remained positive on volumes and pricing, while management has highlighted near-term cost inflation and monsoon seasonality as key variables. The next formal milestone is the October 19, 2026 board meeting scheduled to consider and disclose Q2 financial results and related updates.

Frequently Asked Questions

Consolidated net profit rose 21.3% YoY to ₹1,493.8 crore, and revenue from operations increased 18.8% YoY to ₹23,295.1 crore.

In Q1 FY27, UltraTech reported PAT of about ₹2,604 crore, EBITDA of about ₹5,146 crore, consolidated volume of 41.31 million tonnes, and capacity utilisation of 81%.

Prabhudas Lilladher described the operating performance as in line, retained a BUY recommendation, and maintained its FY27E and FY28E estimates, citing volume growth and improved pricing.

Management guided for ₹130 to ₹140 per tonne of cost inflation in Q2 FY27 due to fuel, maintenance shutdowns and seasonality.

UltraTech plans about ₹17,000 crore of capex over the next 2 to 2.5 years to reach roughly 242 to 242.5 million tonnes per annum of capacity by FY28, backed by limestone reserves.