UltraTech Cement Reports Robust Q3 FY26 Performance with 27% Profit Growth
UltraTech Cement, India's leading cement manufacturer and a flagship company of the Aditya Birla Group, has announced its financial results for the third quarter of fiscal year 2026, showcasing significant growth in profitability and operational metrics. The company reported a consolidated net profit of ₹1,729.44 crore for the December quarter, marking a substantial increase from the ₹1,363.44 crore recorded in the same period a year earlier. This represents a year-on-year profit growth of approximately 27%, underscoring the firm's strong market position and strategic initiatives.
Revenue and Operational Highlights
Revenue from operations for Q3 FY26 stood at ₹21,829.68 crore, compared to ₹17,778.83 crore in the corresponding quarter of the previous fiscal year. The company's sales volume witnessed a notable rise of 15%, reaching 33.85 metric tonnes (MT). Domestic grey cement production increased by 15.4% to 36.37 MT, reflecting robust demand in the Indian market. UltraTech's total consolidated income, which includes other income, was reported at ₹21,965.26 crore for the quarter.
Capacity Expansion and Strategic Acquisitions
The financial results for the three and nine months ended December 31, 2025, are not directly comparable with previous periods due to recent acquisitions and mergers. UltraTech completed the acquisition of India Cements Ltd (ICL), Blrla White WallCare (formerly Wonder WallCare), and Ras Al Khaimah-based RAKWCT. Additionally, the merger of the cement business of Kesoram Industries with UltraTech became effective from March 1, 2025. These strategic moves have expanded the company's footprint and operational scale.
Excluding the sales volumes of India Cements and Kesoram from the previous corresponding period, UltraTech achieved a growth of 29.4% in domestic grey cement markets. The company's capacity utilization improved by 5% year-on-year, reaching 77% in Q3 FY26, up from 72% in the same quarter last year.
Financial Metrics and Business Segments
UltraTech's EBITDA per metric tonne saw significant improvement, rising by ₹140 year-on-year and ₹97 quarter-on-quarter to ₹1,051 per MT. However, sales realization experienced a slight decline of 0.4% YoY and 3.3% QoQ. The Ready Mix Concrete (RMC) segment performed strongly, with sales increasing by 26% on a YoY basis to ₹1,848 crore, accounting for 3% of total cement volumes.
Regarding the acquired entity India Cements Ltd, UltraTech reported that it is on a recovery path, with sales volumes of 2.59 million tonnes, representing a growth of 25% over the previous year. The company expects ICL to achieve targeted profitability as efficiency improvements, capex completion, and brand transition to UltraTech progress.
Expansion Initiatives and Future Outlook
During the quarter, UltraTech commissioned additional cement capacity, including 0.6 MTPA at its grinding unit in Dhule Cement Works, Maharashtra, and 1.2 MTPA at the integrated unit in Nathdwara Cement Works, Rajasthan. With these additions, the company's domestic grey cement capacity now stands at 188.66 MTPA. Including 5.4 MTPA of capacity in the UAE, UltraTech's global capacity has reached 194.06 MTPA.
The company invested ₹2,357 crore in its ongoing capital expenditure program during Q3 FY26 and reduced its net debt-to-EBITDA ratio to 1.08x, reflecting strong operating cash flows. UltraTech also provided an update on its foray into the cables and wires business, stating that the plan is on track with critical orders placed, civil work in progress, and team onboarding underway. The company is confident of meeting the launch timeline in Q3 FY27.
In summary, UltraTech Cement's Q3 FY26 results demonstrate a solid financial performance driven by volume growth, strategic acquisitions, and capacity expansion. The company continues to strengthen its market leadership while exploring new business avenues to sustain long-term growth.
