1. At a Glance – Cement, Capex & Chronic Losses
Shiva Cement Ltd is what happens when capacity, capital and a powerful parent all show up… but profitability forgets the meeting invite.
Market cap sits at ₹628 Cr, stock price around ₹21, and the company proudly reports 90%+ utilisation while simultaneously reporting ₹148 Cr TTM losses. That’s elite multitasking.
Backed by JSW Cement (66.44% promoter stake), Shiva Cement has transformed from a sleepy Odisha clinker unit into a debt-heavy, capex-hungry cement story, with ₹1,603 Cr borrowings, a price-to-book of 15.5x, and negative ROCE of -2.97%.
Sales have jumped, volumes have ramped, plants are sweating… yet shareholders are still crying.
Is this a turnaround loading, or just another infrastructure story where EBITDA goes to gym but PAT eats samosas?
2. Introduction – The JSW Safety Net, But at What Cost?
Let’s be clear: Shiva Cement is not a random smallcap cement gamble.
This is a strategic JSW Group asset, planted firmly in Eastern India to help JSW Cement become a 25 MTPA pan-India player.
But strategy doesn’t pay interest costs.
Despite massive capacity creation, clinker supplies to the parent, and fresh equity via rights issue, Shiva Cement continues to report losses quarter after quarter. The company is operationally improving, but financially still looks like it’s recovering from a long hospital stay.
So the big question:
👉 Is this a classic “losses before scale” story… or a “scale without profits” trap?
3. Business Model – WTF Do
They Even Do?
Shiva Cement does three things:
- Manufactures clinker (1.3 MTPA capacity)
- Sells cement under the ‘Mahabal’ brand
- Acts as a backend supply arm to JSW Cement
Its cement portfolio includes:
- Portland Slag Cement (PSC)
- Portland Pozzolana Cement (PPC)
Markets covered:
- Odisha
- West Bengal
- Jharkhand
- Bihar
Translation: High freight sensitivity, low pricing power, brutal competition.
This is not a luxury cement business. It’s a volume-driven, cost-sensitive regional cement play, where margins are made only if logistics, fuel mix, and utilisation behave like obedient children.
4. Financials Overview – Growth Without Profits (Yet)
Quarterly Comparison (Q3 FY26 – Dec 2025)
(Figures in ₹ Crore)
| Metric | Latest Qtr | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 126 | 58 | 82 | 117% | 54% |
| EBITDA | 1 | -8 | 4 | NA | -75% |
| PAT | -34 | -34 | -33 | 5.2% | -3% |
| EPS (₹) | -1.15 | -1.15 | -1.11 | Flat | Worsening |
Witty Take:
Revenue sprinted. Costs jogged. Interest ran a marathon. PAT collapsed on the track.
5. Valuation Discussion – Numbers That Make You Nervous
P/E Method
- EPS (TTM): ₹ -5.09
- P/E: Meaningless (loss-making)
EV/EBITDA
- Enterprise Value: ₹2,211 Cr
- EBITDA (TTM): ~₹5 Cr (barely breathing)
- EV/EBITDA: 457x
Yes. Four hundred
