25 Jan 2026, Sun

Will UltraTech Cement’s stock make profit now? Profit jumped by 32 percent, EBITDA also improved

UltraTech Cement: Aditya Birla Group company UltraTech Cement on Saturday announced the results of the third quarter of the business year 2026. During this period, the company’s profit after tax (PAT) increased by 32 percent annually compared to last year and reached Rs 1792 crore. This did not include the expenses incurred in implementing the new labor code.

An annual growth of 22.5 percent was recorded in the company’s net sales in the December quarter. The total sales of the company in the October-December quarter of the financial year 2025-26 stood at Rs 21506 crore. This is more than the sales of Rs 17555 crore in the same quarter last year.

How much did it cost to implement the Labor Code?

The company said, “The company has considered Rs 88 crore as an extraordinary expense for additional gratuity and leave encashment liabilities after the implementation of the new labor code in the country from November 21, 2025. The PAT after this one-time expense is Rs 1725 crore.” EBITDA in the third quarter of FY26 also increased by 29 percent year-on-year to Rs 4051 crore. This is more than Rs 3142 crore recorded in Q3FY25. UltraTech’s operating EBITDA per metric tonne (EBITDA/Mt) increased to Rs 1051/Mt, showing an increase of Rs 140 year-on-year and Rs 97 quarter-on-quarter.

How much did cement production increase?

UltraTech produced a total of 36.27 million tonnes of cement in the December quarter. In this, India Cements (which includes sales of UltraTech brand) contributed 2.59 million tonnes, whose EBITDA/Mt was Rs 399. Group’s total operating EBITDA/Mt stood at Rs 1,007 on a total volume base of 38.87 million tonnes.

UltraTech reported consolidated sales volume of 38.87 million tonnes (mtpa) for Q3FY26, which is 15% higher than last year. This growth was driven by strong performance from both UltraTech’s core operations and India Cements, which contributed 35.02 mtpa and 2.59 mtpa respectively.

The special thing is that the volume of UltraTech brand alone increased by 22.3 percent year-on-year. Domestic gray cement sales stood at 36.37 mtpa, which is 15.4 percent more than last year, while white cement increased by 7.8 percent and reached 0.55 mtpa. Foreign sales including gray and white cement were 1.99 mtpa, which is 11.7 percent more than last year. However, there was a decline of 6.2 percent in exports and others, which contributed 0.19 mtpa in this quarter.

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