1. Opening Hook
In a quarter where the monsoon behaved like it was auditioning for a 3-month OTT series, Orient Cement (now under the Adani cement empire umbrella) still pushed out volumes like someone hit the turbo button on the kiln. Management sounded so upbeat, you’d think cement bags were selling like iPhones on launch day.
And why not? EBITDA per ton at ₹1,060, market share inching up, and debottlenecking plans dropping faster than Diwali offers — it was peak corporate swagger.
But don’t relax yet — they’re adding 48 MTPA capacity like they’re assembling Infinity Stones. The real fun begins when you hear how they plan to cut costs by 5% every year till FY28.
Buckle up — it only gets spicier from here.
2. At a Glance
- Revenue up 21% YoY– Cement demand slept, Ambuja-ACC-Oriented volumes didn’t.
- EBITDA up 58%– CFO says synergies, competitors say witchcraft.
- EBITDA per ton ₹1,060– Muscles finally showing after years of cardio.
- Margins at 19.2%– Almost doubled; someone fed them performance cement.
- PAT up 364%– Yes, tax-writeback helped; no, they didn’t complain.
- Market share 16.6%– Gaining 1% in cement is like finding a seat on a Mumbai local.
- Company debt-free– Flexing harder than gym bros in January.
3. Management’s Key Commentary (Quotes + Sarcasm)
Quote:“EBITDA per ton reached ₹1,060, a 32% jump YoY.”(Translation: We’ve finally joined the cool kids’ club.)
Quote:“Total costs reduced by 5% YoY, kiln fuel cost now ₹1.65 per 1000 kcal.”(Translation: We hoarded cheap coal like it was gold during lockdown.)
Quote:“We aim to hit ₹4,000 per ton cost by March ’26 and ₹3,650 by FY28.”(Translation: Prepare for 3 years of aggressive cost yoga 🧘♂️)
Quote:“Debottlenecking will add 15 MTPA at only $48/ton capex.”(Translation: We found a jugaad way to add capacity without breaking the bank.)
Quote:“Integration of Penna and Orient Cement has been the fastest ever.”(Translation: We slapped Ambuja/ACC branding on everything and it worked 😏)
Quote:“Logistics efficiencies will increase utilization by 3%.”(Translation: Our trucks will now move like they drank Red Bull.)
Quote:“Green power share rising to 60% by FY28, reducing power cost by ₹1.5/unit.”(Translation: Renewable energy is cheaper; saving the planet is a bonus.)
Quote:“Clinker capacity will rise from 65MT
to 96MT by FY28.”(Translation: We’re building kilns like India builds flyovers before elections.)
4. Numbers Decoded
Metric Q2 FY26 YoY Change Commentary
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Sales Volume (MT) 16.6 +20% 5x industry growth
Revenue (₹ Cr) 9,174 +21% Pricing & premium mix
EBITDA (₹ Cr) 1,761 +58% Cost cuts shining
EBITDA/ton (₹) 1,060 +32% Strong cycle peak
PAT (₹ Cr) 2,302 +364% Tax writeback magic
Cost/ton (₹) 4,200 -₹238 Targeting ₹4,000 exit FY26
Premium Cement Share 35% +28% vol Branding paying off
Capacity (MTPA) 107 +11 Heading to 155 by FY28
Green Power Share 33% +14% ESG + savingsOne-liners:
- Volumes grew like Ambuja bags in TV ads — improbably fast.
- Cost discipline is the new religion.
- PAT numbers came with a tax-refund plot twist.
5. Analyst Questions (Decoded)
Q:Why did other expenses fall despite maintenance season?A:“Synergies + digital ads.”(Translation: We stopped spending like it’s IPL season.)
Q:Working capital up ₹2,000 crore — why?A:“Inventory & receivables.”(Translation: We stocked coal like doomsday preppers.)
Q:Is debottlenecking only at 13 plants?A:“Phase 1.”(Translation: There’s always a Phase 2.)
Q:Will maintenance cost stay high?A:
