The flagship business of the Aditya Birla Group, UltraTech Cement, reported a robust 74.87% YoY increase in profit to Rs 1,237 crore for Q2 FY26, supported by increased sales and better margins. Additionally, the business revealed a Rs 10,255 crore capacity expansion investment plan.
In the second quarter of fiscal year 2025–2026, UltraTech Cement recorded a staggering YoY increase in net profit of 74.87 percent. In the second quarter of FY26, the Aditya Birla Group’s main cement division reported a consolidated net profit of Rs 1,237 crore. The company’s Q2 FY25 net profit was Rs 707 crore last year.
Additionally, throughout the quarter, UltraTech Cement’s consolidated sales increased by 20.3% year over year. In the second quarter of FY26, the cement giant posted operating revenue of Rs 19,606 crore. The company’s revenue for the same quarter of the previous fiscal year was Rs 16,294 crore.
The quarter saw an improvement in UltraTech’s net profit margins as well. In Q2 of FY26, its net profit margins were 6%, up from 4% at the same time previous year.
UltraTech operations and capital expenditures
In order to take advantage of future development prospects, UltraTech announced that it will spend Rs 10,255 crores in capacity expansion. Phased additions of this anticipated capacity will begin in FY28.
The business said that via integrated units and grinding units located around the nation, it would increase capacity by 22.8 mtpa. It had a 71 percent capacity utilization rate and a total capacity of 192.26 mtpa at the end of Q2 FY26.
Without taking into account the sales volumes of India Cements and Kesoram, which UltraTech purchased this year, the company claimed a 22.3% increase in domestic grey cement.
India Cements and Kesoram, the recently acquired businesses, produced operational EBITDA of Rs 386 per ton and Rs 755 per ton, respectively. With 31% of India Cements’ volumes and 55% of Kesoram’s volumes already shifting to the UltraTech brand, both acquisitions are improving quickly.