What is the key near-term headwind for UltraTech Cement?

A ₹130-140 per tonne cost increase in Q2 FY27, primarily due to higher fuel and logistics costs, which could compress EBITDA margins.

What is the company's volume growth guidance for FY27?

Management expects double-digit volume growth for the full year, driven by strong demand in the cement sector.

What is the ₹1,800 crore cables and wires program?

UltraTech is diversifying into the cables and wires business with a ₹1,800 crore investment, targeting a launch in Q3 FY27. The program is part of a broader expansion strategy.

Is there any change to the EBITDA per tonne target?

The company reiterated its target of ₹1,400 per tonne EBITDA by the March 2028 quarter, though the timeline for India Cements to reach that level has been extended.

Earnings · Cement · Mega cap

UltraTech Cement guides double-digit volume, warns of Q2 cost pressure

The Q1 FY27 concall recap confirms 16% revenue growth, forecasts a ₹130-140/tonne cost hike in the September quarter, and targets ₹1,400/tonne EBITDA by March 2028.

— 3 earlier stories on Ultratech Cement Ltd. →

ULTRACEMCO By Tipsheet Editorial 20 Jul 2026 · 5:24 PM IST Verify on BSE · NSE

Mkt cap₹3.39 lakh cr

P/E41.46×

ROE8.54%

Debt / eq.0.33

Div yld2.10%

₹130-140/tonne Expected Q2 FY27 cost increase per tonne

What's new

Management reaffirmed double-digit volume growth for FY27.
Q2 FY27 cost per tonne to rise by ₹130-140 from Q1 levels.
New cables and wires business to launch in Q3 FY27 with ₹1,800 cr outlay.

Why this matters

Near-term cost pressure will test margin resilience even as volume grows. The ₹1,400/tonne EBITDA target by Mar'28 remains ambitious given the company's trailing ROE of 8.5% and debt/equity of 0.33.

What we're watching

Q2 FY27 margin print against the cost hike guidance.
India Cements' EBITDA trajectory after the flagged timeline delay.
Cables and wires launch execution and revenue contributions.

The full read

UltraTech Cement's Q1 FY27 concall recap confirmed 16% revenue growth and 13.1% volume gains. But the focus was on what comes next. Management guided for double-digit volume growth in FY27, though it flagged a ₹130-140 per tonne cost increase in Q2. Cost pressure is coming. The long-term EBITDA per tonne target of ₹1,400 by March 2028 remains, but the India Cements acquisition's EBITDA timeline has been pushed out. Meanwhile, the ₹1,800 crore cables and wires program is set for a Q3 FY27 launch, marking a diversification move. The call offered no material surprises; the market had already absorbed the results. This was a routine check on execution trajectory.

Questions answered

What is the key near-term headwind for UltraTech Cement?: A ₹130-140 per tonne cost increase in Q2 FY27, primarily due to higher fuel and logistics costs, which could compress EBITDA margins.
What is the company's volume growth guidance for FY27?: Management expects double-digit volume growth for the full year, driven by strong demand in the cement sector.
What is the ₹1,800 crore cables and wires program?: UltraTech is diversifying into the cables and wires business with a ₹1,800 crore investment, targeting a launch in Q3 FY27. The program is part of a broader expansion strategy.
Is there any change to the EBITDA per tonne target?: The company reiterated its target of ₹1,400 per tonne EBITDA by the March 2028 quarter, though the timeline for India Cements to reach that level has been extended.

Mentioned: India Cements · ₹130-140 per tonne cost increase · ₹1,800 cr cables and wires program

Primary source BSE · NSE · Tijori

An independent reading of the company's own disclosure — the primary filing above is the final word.

Company snapshot

Ultratech Cement Ltd.

Cement

₹3.51 L cr

P/E 41.06×

Latest quarter · Jun 2026

Sales₹24,648 cr

Net profit₹2,602 cr

Op. margin+20.4%

EPS₹88.21

Strength & growth

Debt / equity0.33×

Current ratio0.73×

Sales CAGR+13.0%

EPS CAGR+10.9%

Story so far

All notes on ULTRACEMCO →

20 Jul 2026 · 5:24 PM IST UltraTech Cement guides double-digit volume, warns of Q2 cost pressure
1d ago UltraTech Cement eyes ₹5,000 crore NCD issue
1d ago UltraTech Cement logs 16% sales growth, 17% PAT rise in Q1 FY27
1d ago UltraTech Cement Q1 sales up 16% to ₹24,465 cr, PAT up 17%