Current Cement Capacity: 27 MMTPA, which includes 2 MMTPA from the Vadraj Cement Limited grinding unit at Surat.
Post-Expansion Capacity Target: ~35 MMTPA upon completion of the Vadraj acquisition and planned East expansion.
Vadraj Cement Ltd. Acquisition: Comprises 6 MMTPA of grinding capacity (GU) and 3.5 MMTPA of clinker capacity (CU).
Project Commissioning Updates
Surat Grinding Unit (Gujarat): 2 MMTPA capacity was commissioned in July 2026, ahead of schedule.
Kutch Integrated Unit (Gujarat): Execution is on track.
Clinker Unit (3.5 MMTPA): Kiln rotation complete; major equipment deliveries done; target for H1 FY27 is to complete overhauling of all major equipment and initiate trial preparation. Commissioning of the CU and CPP is targeted for H2 FY27.
Grinding Unit (2.5 MMTPA) & WHR: Civil works underway; target for H1 FY27 is to complete civil works. Commissioning is targeted for H1 FY28.
Railway Siding: Earthwork completed; ballast and sleeper laying in progress.
Kutch Jetty: Operations are targeted to commence in H2 FY27.
Bulk Terminal at Sachana, Ahmedabad: Has a planned handling capacity of ~1.5 MMTPA. Silo casting and railway siding track laying are in progress. Commissioning is targeted for Q2 FY28.
East Expansion: A 4 MMTPA expansion is planned in phases until FY28 through equipment upgrades and debottlenecking.
Business Segment Highlights
Ready-Mix Concrete (RMX): The Concreto portfolio reported healthy volume traction.
Modern Building Materials (MBM): Tile adhesives and construction chemicals maintained strong growth momentum.
Market Outlook & Commentary
Demand: Underlying cement demand grew in Q1, though temporarily moderated in some states due to elections. Demand is expected to pick up post-monsoon. Government capex is up 13% YoY in Q1 FY27 (till May 2026).
Prices: Pan-India cement prices improved quarter-on-quarter (QoQ) in Q1 FY27. Management stated that price hikes are essential to offset cost increases.
Cost Pressures: Geopolitical developments were noted as exerting upward pressure on costs, particularly for fuel and packaging bags (due to rising granules and diesel prices). Fuel mix optimization and AFR (Alternative Fuels and Raw materials) use are key levers. Rake availability was mentioned as an important factor to monitor.
Other Information
The document includes standard forward-looking statements cautioning that actual results could differ due to factors like demand-supply conditions, feedstock prices, government regulations, and economic developments.
The company received various awards and recognitions related to sustainability and CSR.
CSR initiatives in Q1 included digital education programs in 42 schools, Project Aakriti (a women's livelihood initiative generating ~₹5.39 lakh revenue), maternal healthcare camps, and water conservation projects.
