/** blogpostTitle: UltraTech Q4 FY26: Record EBITDA, 200 MTPA milestone and a special dividend blogpostSlug: ultratech-q4fy26 blogpostShortTitle: UltraTech hits 200 MTPA, record profits blogpostCoverImageDescription: Ultra-realistic corporate desk scene with a clean financial dashboard on a large monitor showing rising quarterly bars for revenue and EBITDA, a line chart for declining net debt to EBITDA, and a capacity timeline curve increasing from about 196.8 to 242.5 million tonnes; subtle industrial background elements like a cement plant silhouette and power icons suggesting green energy mix, no logos or text. */

UltraTech Q4 FY26: Record EBITDA, 200 MTPA milestone and a special dividend

UltraTech Cement ended Q4 FY26 with its strongest quarterly profitability on record. Consolidated revenue for the quarter rose to Rs. 25,467 crore, up 11.8% year-on-year. EBITDA came in at Rs. 5,688 crore, up 20% YoY, and PAT before exceptional items was Rs. 3,011 crore, up 21% YoY.

The company paired this with a key operating metric that matters in cement: operating EBITDA per tonne. For Q4 FY26, the reported number was Rs. 1,253 per tonne. UltraTech attributed the improvement to a mix of better realizations, efficiency gains, and a rising green power share, even as the quarter saw cost pressure from cement bags and currency mark-to-market.

Volumes and segment performance: UltraTech brand leads the growth

The core domestic grey cement engine continued to expand. Domestic grey cement volumes in Q4 FY26 were 42.41 million tonnes, up 9.3% YoY. Within this, UltraTech brand sales stood out at 41.88 million tonnes, up 19.1% YoY, reflecting the impact of premiumization and the completion of brand migration for the acquired assets.

Revenue mix also shows UltraTech’s push beyond pure cement. Ready Mix Concrete posted strong growth with Q4 revenue of Rs. 2,262 crore, up 24.4% YoY, supported by a wider plant network. Construction chemicals, while smaller, grew faster with Q4 revenue of Rs. 418 crore, up 44.2% YoY. White cement contributed Rs. 800 crore in the quarter, up 14.9% YoY.

Below is the company’s consolidated revenue split by business line as disclosed in the investor presentation.

Margins, costs and the green power lever

UltraTech’s profitability improvement was not just driven by volumes. The company highlighted a measurable cost reduction program across energy, logistics, clinker conversion and alternative fuels. In the FY26 sustainability and operating update, it reported cumulative efficiency gains of Rs. 185 per tonne over FY25 and FY26 combined (excluding India Cements and Kesoram).

In Q4 FY26, the domestic grey cement cost structure was led by logistics at 32% of costs (Rs. 1,154 per tonne) and fuel at 21% (Rs. 874 per tonne). Power costs were 9% (Rs. 325 per tonne), showing a sharp decline versus the previous year. The presentation also disclosed a lower primary lead distance of 367 km, down 18 km YoY, which supports structural logistics savings.

The strongest visible lever is energy transition. UltraTech reported waste heat recovery capacity of 414 MW and renewable power capacity of 1.392 GW, with green power mix around 43% in its operational highlights. In FY26 ESG performance (excluding India Cements), green power mix was reported at 41.6% and the company reiterated a target of 85% by FY30.

Management also discussed near-term disruptions. The West Asia conflict created volatility in imported fuel, bags, and freight. In the earnings call, the CFO said the incremental bag cost impact in March was approximately Rs. 90 crore in Q4. He also cited a non-cash forex mark-to-market impact within EBITDA of about Rs. 120 to 130 crore, or roughly Rs. 30 per tonne, linked to quarter-end currency movements.

Expansion pipeline and capital allocation: scale with balance sheet discipline

UltraTech continues to push its scale advantage. As of March 31, 2026, global grey cement capacity was shown at 196.8 MTPA. The company laid out a roadmap to 212.7 MTPA in FY27 and 242.5 MTPA in FY28, with zone-wise additions planned across north, east, west and south.

The earnings call added a milestone achieved just after the year-end. Management stated UltraTech crossed 200 million tonnes of domestic capacity in April 2026, a year ahead of its earlier target, and positioned this as a strategic advantage that compounds cost efficiency, market reach, and sustainability.

Capital spending remains high but appears manageable given operating cash generation. In FY26, consolidated operating cash flow was Rs. 13,496 crore and capex and investments were Rs. 10,064 crore. Free cash flow to equity was Rs. 4,388 crore, and free cash flow after dividends was Rs. 2,114 crore.

In line with this cash profile, the Board recommended a dividend of Rs. 240 per equity share for FY26, described as a special dividend. Management also stated it expects to invest around Rs. 8,000 to Rs. 10,000 crore every year for the foreseeable future, while aiming to keep leverage below 1x. Net debt to EBITDA for FY26 stood at 0.94x.

New growth engines: RMC, construction chemicals and wires and cables

The company is also scaling adjacencies. Ready Mix Concrete is now a large operating platform: 465 plants across 167 cities, with Q4 volume of 4.78 million cubic meters and Q4 revenue of Rs. 2,262 crore. The deck also mentioned RoCE of 33% for the RMC business.

Construction chemicals continued to grow rapidly on a smaller base. UltraTech also showcased a product launch in waterproofing systems, positioned around roof protection.

Another adjacency is wires and cables. The presentation disclosed an investment approval of Rs. 1,800 crore and committed spend of about Rs. 764 crore till March 2026. Management said facility setup is complete, machine installation is near completion, and systems and channel onboarding are underway. In the call, the CFO indicated the business is expected to launch in Q3 FY27 and may be launched in the first month of Q3.

What to track next

UltraTech’s FY26 story is built on three pillars: scale expansion, cost discipline through green energy and logistics optimization, and stronger brand-led realization. The company’s own numbers support that narrative, with record quarterly EBITDA and PAT in Q4 and improved leverage despite heavy capex.

The main watch items are also clear from management commentary: input volatility from geopolitics, bag and diesel costs, and the pace of earnings uplift from acquired assets. Management stated India Cements is expected to reach over Rs. 1,000 EBITDA per tonne by FY28 as cost improvement capex plays out, while the broader group is targeting continued volume growth supported by capacity commissioning.

With a clear capacity roadmap and an explicit commitment to high annual capex funded by operating cash flows, UltraTech enters FY27 with strong momentum and a sharper capital return stance through the special dividend.