Sales Volume
73.7M tons
+16% YoY
Annual sales volume for FY26, highest ever.
ORIENTCEMENT
Manufacturing
15 May 2026
Orient Cement Ltd — Q4 FY26
Ambuja Cement reported a resilient FY26 with 73.7M tons sales volume (+16% YoY) and normalized EBITDA of ₹6,539 Cr (+31% YoY).
Financial stats pending filing verification
2-Minute Summary
✦ AI-Generated from Full Transcript
Ambuja Cement reported a resilient FY26 with 73.7M tons sales volume (+16% YoY) and normalized EBITDA of ₹6,539 Cr (+31% YoY). However, Q4 FY26 cost per ton spiked to ₹4,500 (vs guided ₹4,100 exit), driven by higher freight, packing costs from West Asia disruptions, and elevated repairs at acquired Sanghi/Penna assets (utilization 57%/46%). Management reset FY27 volume guidance to 80M tons (+8% YoY) and targets ₹250/ton cost reduction, but admitted a 3-6 month delay in efficiency initiatives. Capex is recalibrated to ₹6,000-6,500 Cr with focus on organic debottlenecking and greenfield projects (Mundra, Assam). Key risk: inability to pass on cost inflation amid soft demand may further pressure margins.
Key Numbers
Premium Cement Share of Trade Sales
35%
+?pp YoY
Premium cement accounted for 35% of trade sales in FY26, up from prior year.
Green Power Share
32%
+6pp YoY
Green power share increased to 32% in Q4 FY26 from 26% in Q4 FY25.
Sanghi Cement Capacity Utilization
57%
flat
Sanghi plant utilization remained low at 57% for FY26, below expectations.
Management Guidance
FY27 volume target of 80 million tons
Management expects sales volume of ~80 million tons in FY27, implying ~8% growth over FY26.
Management guidance growthCost reduction of ₹250/ton in FY27
Target to reduce cost per ton by ₹250 from Q4 FY26 exit rate of ₹4,500, driven by operational efficiencies and green energy.
Management guidance marginsCapex of ₹6,000-6,500 Cr for FY27
Capital expenditure for FY27 estimated at ₹6,000-6,500 crore, focused on completing ongoing projects and debottlenecking.
Management guidance capexCapacity to reach 119 million tons by end FY27
Cement capacity expected to increase to 119 million tons by end of FY27, including new grinding units and clinker lines.
Management guidance expansionKey Risks
Cost inflation from West Asia conflict
Geopolitical tensions led to higher packing and fuel costs, adding ~₹250/ton in Q4; further escalation could pressure margins.
high · management_commentaryDelayed turnaround of acquired assets
Sanghi and Penna plants have lower utilization (57%/46%) and required higher maintenance capex, delaying expected cost benefits.
high · management_commentaryInability to pass on cost increases
Despite cost inflation, cement prices have only risen modestly (~₹10/bag) due to soft demand, limiting margin recovery.
high · analyst_questionExecution risk on capex projects
Previous project delays due to contractor issues and incomplete engineering; new projects may face similar timeline slippage.
medium · analyst_questionNotable Quotes
We are not moving away from the target, yes we are moving away from the timeline.
4500 is the peak and this 250 reduction is from here.
We did not choose the right contractor when executing... a lot of these projects were started without full engineering being done in place.
Frequently Asked Questions
What was Orient Cement's revenue in Q4 FY26?
Orient Cement reported revenue of — in Q4 FY26, representing a — change compared to the same quarter last year.
What guidance did Orient Cement management give for FY27?
FY27 volume target of 80 million tons: Management expects sales volume of ~80 million tons in FY27, implying ~8% growth over FY26. Cost reduction of ₹250/ton in FY27: Target to reduce cost per ton by ₹250 from Q4 FY26 exit rate of ₹4,500, driven by operational efficiencies and green energy. Capex of ₹6,000-6,500 Cr for FY27: Capital expenditure for FY27 estimated at ₹6,000-6,500 crore, focused on completing ongoing projects and debottlenecking. Capacity to reach 119 million tons by end FY27: Cement capacity expected to increase to 119 million tons by end of FY27, including new grinding units and clinker lines.
What are the key risks for Orient Cement in FY27?
Key risks include Cost inflation from West Asia conflict — Geopolitical tensions led to higher packing and fuel costs, adding ~₹250/ton in Q4; further escalation could pressure margins.; Delayed turnaround of acquired assets — Sanghi and Penna plants have lower utilization (57%/46%) and required higher maintenance capex, delaying expected cost benefits.; Inability to pass on cost increases — Despite cost inflation, cement prices have only risen modestly (~₹10/bag) due to soft demand, limiting margin recovery.; Execution risk on capex projects — Previous project delays due to contractor issues and incomplete engineering; new projects may face similar timeline slippage..
Did Orient Cement meet its previous quarter's guidance?
Scorecard data is being built as historical quarters are processed.
Where can I read the full Orient Cement Q4 FY26 concall transcript?
The full earnings conference call transcript or source release is available on the linked source material. This page provides an AI-generated summary with filing verification status shown on the financial stats.