Shree Cement's sustainability initiatives continued to strengthen, with green power capacity reaching 612 MW, covering 60% of total needs, while alternative fuels and raw materials use rose to 2.3% and rail logistics share increased to 11% with a 20% target.
NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
IDBI Capital Report
Shree Cement Ltd. reported a resilient performance in Q2 FY26 despite seasonal headwinds, supported by premiumization and cost discipline. Revenue rose 15% YoY to Rs 43 billion down 12% QoQ driven by stronger realizations and an improved product mix, while Ebitda increased 46% YoY to Rs 8.5 billion, translating to Rs 1,049/tonne up 44% YoY. PAT surged 198% YoY to Rs 2.8 billion, underscoring robust margin recovery.
Cement volumes grew 6.8% YoY to 7.9 million tonnes, though sequentially lower due to extended monsoons and softer North India demand. Realizations improved to Rs 4,840/t, aided by the premium segment’s share rising to 21% from 15% last year, validating the “value-over-volume” strategy.
Sustainability initiatives continued to strengthen, with green power capacity reaching 612 MW, covering 60% of total needs, while alternative fuels and raw materials use rose to 2.3% and rail logistics share increased to 11% with a 20% target.
We reiterate our rating to Buy, awaiting better demand traction and revised the target price to Rs 35,697.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
RECOMMENDED FOR YOU
Shree Cement Q2 Net Profit Jumps 4X; Dividend Of Rs 80 Declared — Check Record Date, Other Details
PCBL Q2 Review: IDBI Capital Maintains 'Hold', Revises Target Price — Here's Why
L&T Tech Q2 Review: IDBI Capital Maintains 'Buy', Sees 15% Upside Potential — Check Target Price
Ambuja, UltraTech, Shree Cement Get Sharp Target Price Hikes — HSBC Bullish On Top Players
POPULAR