- UltraTech Cement approved raising Rs 5,000 crore via non-convertible debentures on private placement
- The company plans to issue up to 5 lakh unsecured, listed, redeemable NCDs with a Rs 1 lakh face value each
- UltraTech reported a 16.9% rise in Q1 net profit to Rs 2,600 crore and 15.8% revenue growth to Rs 24,648 crore
Cement major UltraTech Cement on Thursday said its Finance Committee has approved a proposal to raise up to Rs 5,000 crore through the issuance of non-convertible debentures (NCDs) on a private placement basis.
In an exchange filing, the company said its Finance Committee approved the issuance of up to 5,00,000 fully paid, unsecured, listed, rated, redeemable, rupee-denominated, non-convertible and non-cumulative debentures with a face value of Rs 1,00,000 each, aggregating up to Rs 5,000 crore.
The proposed fundraising will be undertaken in one or more tranches through private placement.
Non-convertible debentures (NCDs) are fixed-income debt instruments issued by companies to raise long-term capital. Investors lend money to the issuer in return for a fixed rate of interest over a specified tenure. Unlike convertible debentures, NCDs cannot be converted into equity shares of the issuing company.
The fundraising approval comes after UltraTech Cement reported a strong performance for the quarter ended June 30, 2026.
The company's consolidated net profit rose 16.9% year-on-year (YoY) to Rs 2,600 crore in Q1FY27, compared with Rs 2,225 crore in the corresponding quarter last year. Revenue from operations increased 15.8% to Rs 24,648 crore from Rs 21,276 crore a year ago.
At the operating level, earnings before interest, tax, depreciation and amortisation (EBITDA) rose 13.7% YoY to Rs 5,015 crore, while EBITDA margin stood at 20.3%, compared with 20.7% in the year-ago quarter.
Grey cement sales volume grew 12.2% YoY to 41.3 million tonnes during the quarter. Domestic sales volumes increased 13.1% to 39.2 million tonnes, while capacity utilisation stood at 81% on an installed domestic grey cement capacity of 200.1 million tonnes per annum (MTPA).
Operating EBITDA per tonne improved to Rs 1,214 from Rs 1,198 a year ago, reflecting the company's continued focus on operational efficiency and cost discipline.
UltraTech also said it had crossed 200.1 MTPA of domestic grey cement capacity and 205.5 MTPA of global capacity, including overseas operations, in April 2026.
The company plans to add another 15.9 MTPA during FY27 and 29.8 MTPA during FY28 through a mix of greenfield projects, brownfield expansions and debottlenecking initiatives.
Meanwhile, India Cements, a subsidiary of UltraTech Cement, reported a net profit of Rs 52 crore for the June quarter.
ALSO READ: UltraTech Q1 Result: Profit Rises 17% YoY, Revenue Grows 16% To Rs 21,276 Crore
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