UltraTech Cement, a leading cement manufacturer in India, has reported a significant milestone in its financial year 2025 (FY25). The company crossed the ₹75,000 crore revenue mark and moved closer to achieving 200 million tonnes per annum (MTPA) of total capacity. As of June 30, 2025, its consolidated capacity stood at 192.26 MTPA. To further expand its capacity and undertake energy and efficiency-related initiatives, UltraTech has earmarked up to ₹10,000 crore in capital expenditure for FY26.
The company’s expansion plans include an organic expansion of 28.8 MTPA by FY27, in addition to the 26.3 MTPA of grey cement capacity added through the acquisition of India Cements and the cement business of Kesoram Industries. The acquisition has expanded UltraTech’s presence in the South Indian market, and the company is also scaling up its green energy capacity by 107 MW at the former Kesoram units.
Despite a marginal decline in EBITDA in FY25 due to lower sales realization amid weak demand, UltraTech expects demand to rebound in FY26. The company’s Managing Director, K C Jhanwar, noted that while cement demand moderated to 4-5% in FY24-25 owing to a temporary slowdown in government infrastructure spending and a prolonged monsoon, it is likely to rebound to 6-7% in FY25-26. The Union Budget’s allocation of ₹11.21 lakh crore for the infrastructure sector is expected to support demand.
UltraTech continues to face competition from Adani Group’s Ambuja Cements, which has crossed 100 MTPA capacity in FY25 and aims to reach 118 MTPA by FY26 and 140 MTPA by FY28. The Adani Group has been expanding its presence in the cement sector since its acquisition of stakes in Ambuja Cements from Holcim in 2022. Despite the competition, UltraTech remains confident in its ability to grow and expand its operations, with a focus on increasing its energy efficiency and reducing its debt-to-EBITDA ratio.
Overall, UltraTech Cement’s FY25 performance and FY26 outlook indicate a positive trend for the company, with a focus on expansion, energy efficiency, and demand growth. The company’s ability to adapt to changing market conditions and invest in new initiatives is expected to drive its growth and maintain its position as a leading cement manufacturer in India.