Cement firms report strong volume growth amidst realisation challenges

24 Aug 2023 CW Team

Cement companies experienced robust double-digit volume growth in the previous quarter due to strong domestic demand, according to data from 42 firms. Despite this, limited improvement in realisations and higher-than-expected raw material costs resulted in a mixed performance. Net profit for the quarter improved by 5.8% year-on-year (y-o-y), but declined 12% sequentially. The year-on-year profit before interest and tax increased by 14.4%, while sequentially it declined by 7.5%. Realisations dropped by 1% sequentially on average, impacting operating performance despite the volume growth. Average cement prices per 50kg bag also saw a decline. Cement companies' performance slightly missed expectations due to stagnant profitability and lower-than-anticipated cost reductions. While the average Ebitda per tonne improved slightly, it was still lower by 7.8% compared to the previous year.

Challenges persist in the current quarter as construction activities slow down post-monsoon. Analysts highlight the importance of cement price stabilisation for future earnings support. Despite the obstacles, analysts remain positive about strong volume growth in the upcoming fiscal year and closely monitor cement price trends for future developments. The correction in blended fuel costs provides a potential support factor for manufacturers' earnings.

Infrastructure Transport

10 Oct 2025

Modi Launches Rs 318.5 Billion Projects in Maharashtra

Prime Minister Narendra Modi on Wednesday launched infrastructure projects worth Rs 318.5 billion during his two-day visit to Maharashtra, including two landmark developments — the first phase of the Rs 196.5 billion Navi Mumbai International Airport (NMIA) and the second phase of the Rs 122 billion Mumbai Metro Line 3. India’s first fully digitised airport, NMIA, has been designed for multimodal connectivity and is being developed under a public-private partnership between Adani Airport Holdings, which holds a 74 per cent stake, and the City and Industrial Development Corporation of Maha..

Tata Housing Sells Rs 10 Billion Homes in Bengaluru

Real estate developer Tata Housing on Wednesday announced that it has achieved home sales worth over Rs 10 billion in its newly launched residential project in Bengaluru, driven by strong demand. In a statement, the company said Tata Housing Varnam Phase I — part of the 135-acre integrated township Carnatica in North Bengaluru — has surpassed Rs 10 billion in sales since its launch in August 2025. Spread across 20 acres, Varnam Phase I has recorded sales of 377 units out of 582 apartments, along with 48 townhouses and row houses. The project has attracted substantial interest from both e..

OMRON to Train 1,000 Graduates Annually at Bengaluru Centre

Japanese industrial automation giant OMRON announced on Wednesday that it will train and skill 1,000 fresh engineering graduates annually at its newly launched Automation Centre in Bengaluru. The initiative aims to enhance India’s employable manufacturing talent and build a resilient, future-ready industrial ecosystem. Motohiro Yamanishi, President of the Industrial Automation Company at OMRON Corporation, said, “We see immense potential in the dynamism of India’s manufacturing sector. The new Automation Centre underscores India’s vital role in our global and Asia-Pacific vision. It i..