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Out of all the cement companies that have declared their results, Vaibhav Agarwal of PhillipCapital takes a closer look at the numbers declared by market heavyweights ACC Ltd and Dalmia Bharat.

ACC Ltd
Unfortunately, competition is far ahead!

  • ACC’s Q4 numbers are better than our estimates on the EBITDA front by 23 per cent, but lower than consensus by 10 per cent. We were the lowest on the Street for ACC.
  • The key surprise has come in from better than expected realisations (+3 per cent versus our expectations) for ACC. Operating cost increased by 4 per cent y-o-y; 3 per cent q-o-q. We had questioned ACC’s ability to maintain cost structure at Q1 levels in our earlier notes (in Q1;16 ACC delivered an excellent cost matrix and disappointments began Q2 onwards). The Q4 numbers, ACC lacks the cost advantage versus its peers.
  • Volume growth remains exactly in line with our expectation at -9.2 per cent y-o-y; +7.5 per cent q-o-q. EBITDA/tonne is reported at Rs 354 (-1 per cent y-o-y; -20 per cent q-o-q).
  • ACC continues to remain the worst amongst lot. Since the consolidation of ACC with Ambuja is complete, we expect some synergy benefits to flow in now.
  • The Board has recommended a final dividend of Rs 6/share (including interim dividend – dividend for CY16 stands at Rs 17/share).
  • Our price target, Rs 1,430 for ACC with a sell rating.

Key highlights
ACC has once again disappointed due to absence of volume growth and lower-than-expected operating efficiency. Consolidation with Ambuja may help ACC to improve cost efficiencies.
The only rerating trigger will be a sustained recovery in cement prices.

Outlook and valuation
We upgrade to ‘Neutral’ as our earlier price target with a ‘Sell’ rating is now met. ACC desperately needs to focus on cost efficiencies. Competition is far ahead on the operating front; hence, we don’t see ACC matching peer valuations in the near to medium term. At our target of Rs 1,580, ACC trades at $135/tonne (nearly at par with replacement) which is fair, especially given that it is much lower on the efficiency curve.

Dalmia Bharat (DBEL IN)

  • The positive surprise continues despite demonetisation
  • Dalmia Bharat once again beats our/consensus estimates by 5 per cent/4 per cent on the operating front. These results continue to prove that the impact of demonetisation was minimal on the cement industry.
  • Volumes grew by 20 per cent y-o-y; 4 per cent q-o-q as against our expectation of 16 per cent y-o-y growth. EBITDA at Rs 4.21 billion beats all estimates. EBITDA/tonne at Rs 1,183 is ahead of our expectation by 1 per cent.
  • Cost controls continue to remain excellent.
  • We reiterate Dalmia Bharat amongst our high conviction mid-cap picks and with price target of Rs 2,500 (+30 per cent).

Key highlights
It continues to maintain a robust trajectory and we see no material risk to our estimates. The focus remains on operating leverage with capacity utilisation. Earnings upgrades cannot be ruled out as and when we see cement prices recovering especially in East/ Northeast India.

Outlook and valuation
We reiterate DBEL as our high conviction pick and maintain our price target at Rs 2,500 with potential for upgrades. DBEL will trade at ~ $185/tonne, bridging its valuation gap with comparable and most efficient cement majors. We see no reason for a discount given that DBEL’s operating efficiencies match or are ahead of others.

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Concrete

Wonder Cement appoints Mahesh Singh as VP Corporate Brand Communication 

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Singh brings 20+ years of brand and marketing experience, and will lead integrated corporate brand communication initiatives at Wonder Cement 

New Delhi

Wonder Cement, a leading cement manufacturer, has appointed Mahesh Singh as Vice President – Corporate Brand Communication. In his new role, he will oversee corporate brand strategy and communication, including digital and performance marketing, public relations, trade, events, exhibitions, sports and experiential marketing. 

Singh brings over two decades of experience across marketing and communications, with roles spanning the automotive industry, agencies and entrepreneurship. He spent more than a decade with Honda Motorcycle & Scooter India, working across integrated communication, media, digital, retail and consumer engagement. His stint also included helping build the company’s digital marketing capabilities. 

He moved to dentsu X India as Vice President – Strategy & Planning, working across categories such as automotive, auto components, electric vehicles, FMCG, consumer electronics, BFSI, apparel and brand consulting. His responsibilities included media and marketing strategy, product launches, content, performance marketing and consumer activations. 

Singh subsequently took an entrepreneurial route with Radiant Brands before joining Shriram Ltd (SPR Autotech) as Head – Marketing & Communications. There, his remit included brand and corporate strategy, communications, PR and ORM, retail identity, loyalty programmes and events. 

At Wonder Cement, Singh will be responsible for bringing together the company’s corporate brand communication initiatives across digital, performance marketing, PR, trade, sports and experiential platforms. The role will focus on creating an integrated approach to communication across consumers, trade partners and other key stakeholders. 

The appointment brings to Wonder Cement a marketer whose career has spanned the brand, agency and entrepreneurial sides of the communications ecosystem. 

Wonder Cement, part of the RK Group, is a cement manufacturer with roots in Rajasthan and a focus on quality, trust and transparency. The company has grown to six manufacturing plants, and a cement capacity of 21.5 MTPA. With more than 2,000 employees and a network of over 5,000 dealers, its operations span manufacturing, distribution and customer engagement, with a focus on consistent product quality and efficient execution. 

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Concrete

JSW Cement commissions additional 1 MTPA grinding unit at Nagaur

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With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA, 
Mumbai

JSW Cement, one of India’s leading green cement producers and part of the diversified JSW Group, today announced the successful commissioning of an additional 1.00 MTPA cement grinding unit at Nagaur, Rajasthan. The commissioning marks another significant milestone in the Company’s growth strategy.

With this commissioning, JSW Cement’s total cement grinding capacity has increased to 25.10 MTPA, while its total clinker manufacturing capacity, including clinker capacity at its joint venture, JSW Cement FZC, stands at 9.74 MTPA.

JSW Cement had commenced operations in North India in March 2026 with the Nagaur Integrated Plant, comprising a 3.30 MTPA clinkerisation unit and 2.50 MTPA cement grinding unit. With the commissioning of the additional 1.00 MTPA cement grinding unit, the plant’s total cement grinding capacity has increased to 3.50 MTPA, enhancing the company’s ability to cater to the growing cement demand across Rajasthan, Haryana, Punjab and the National Capital Region (NCR). The expansion has been funded through a strategic mix of equity and long-term debt.

During the quarter ended 30th September 2026, JSW Cement has also commissioned the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) at the Nagaur Integrated Plant.

Nilesh Narwekar, CEO, JSW Cement, said: “The commissioning of additional 1.00 MTPA grinding capacity at Nagaur is a key strategic priority for us and will accelerate JSW Cement’s expansion into North India. We look forward to servicing the growing needs of the region and contributing to the economic growth of Rajasthan, Haryana, Punjab and the NCR area. I am delighted to share that the company has commissioned this grinding unit within the expected timeline, showcasing our project execution capabilities. Further, the Alternate Fuel Handling System and the Waste Heat Recovery system (WHRS) are expected to substantially reduce our production costs going forward.”

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Concrete

UltraTech becomes first Indian cement firm to cross 2 GW green energy

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UltraTech Cement has crossed 2 GW of captive green energy capacity, with renewables and waste heat recovery meeting 48 per cent of its power needs.

Mumbai

UltraTech Cement Limited has surpassed 2 GW of installed green energy capacity for captive use, becoming the first cement company in India to achieve the milestone. The Aditya Birla Group company commissioned 116.55 MW of wind capacity at its Inter-State Transmission System-connected wind-solar hybrid project in Barmer, Rajasthan, along with 10 MW of Waste Heat Recovery System capacity at Sarlanagar Cement Works in Karnataka.

With these additions, UltraTech’s cumulative installed green energy capacity has reached 2,024 MW. This includes 1,580 MW of renewable energy capacity and 444 MW of waste heat recovery capacity, together meeting around 48 per cent of the company’s current power requirements.

The company said the milestone reflects the progress of its long-term energy transition strategy. In FY27 so far, nearly one-third of UltraTech’s 76 manufacturing units in India have maintained green energy utilisation above 50 per cent of their electricity requirements, while five units have crossed 95 per cent.

K C Jhanwar, Managing Director, UltraTech Cement Limited, said, “Crossing the 2 GW green energy milestone is the result of a strategy we have pursued consistently over the past decade. Cement is an energy-intensive, hard-to-abate sector, and showing that reliability and growth can go hand in hand with a rapid shift to green energy sets a benchmark for the industry. With nearly half of our power needs now met through green energy, we are significantly less exposed to fossil fuel supply constraints and power price volatility. As we scale up renewables, waste heat recovery and battery storage across our operations, we are building an energy foundation for stable, long-term growth.”

UltraTech commissioned 430 MW of green energy capacity in FY26 and continues to expand its renewable energy and waste heat recovery portfolio.

The company is also progressively integrating Battery Energy Storage Systems across its operations to improve renewable energy utilisation and supply reliability.

In 2025, UltraTech operationalised what it described as India’s first on-site hybrid round-the-clock renewable energy project at Sewagram Cement Works in Gujarat. The project combines solar, wind and battery storage.

As part of its decarbonisation strategy, UltraTech said it has not invested in new captive thermal power capacity for either greenfield projects or brownfield expansions at its integrated units for more than a decade.

The company said its expanding green energy portfolio is helping reduce dependence on conventional grid electricity and fossil fuel-based power, while lowering exposure to fluctuations in coal and electricity prices.

UltraTech aims to increase green energy’s share in its total power mix to 85 per cent by 2030. As a member of RE100, it has also committed to meeting 100 per cent of its electricity requirement through renewable sources by 2050.

UltraTech Cement, the cement flagship of the Aditya Birla Group, has a total grey cement capacity of 210.1 MTPA and white cement and putty capacity of 3.5 MTPA. The company is also a signatory to the GCCA Climate Ambition 2050 and has committed to the GCCA Net Zero Concrete roadmap.

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