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Star Cement (540575) investor relations material

Star Cement Q2 25/26 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 25/26 earnings summary6 Nov, 2025

Executive summary

  • Q2 FY26 delivered record operational and financial performance, with highest ever EBITDA, PBT, and PAT for a second quarter and 20% YoY sales volume growth despite demand deferment ahead of GST rate reduction.

  • Expansion projects are underway, targeting 10 MTPA cement capacity by FY26, with Silchar commissioning expected by January and strategic entry into North India.

  • Premium sales ratio improved to 14.1% of trade sales in Q2 FY26, up from 10.6% YoY.

  • The company is leveraging state incentives, especially in Bihar and North India, to enhance profitability and market reach.

  • Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025, were approved by the Board on November 4, 2025.

Financial highlights

  • Q2 FY26 revenue was INR 811 crore (₹81,100 lakhs), up from INR 632 crore (₹63,200 lakhs) year-over-year, with a 26% YoY increase in cement and clinker sales.

  • Q2 EBITDA rose to INR 194 crore, nearly doubling YoY, and PAT increased to INR 71 crore, up 1154% YoY.

  • H1 FY26 revenue was INR 1,723 crore, EBITDA INR 424 crore, and PAT INR 169 crore, all showing strong growth over the prior year.

  • Gross cash accruals increased 83% YoY to ₹161 crore.

  • Earnings per share (EPS) for Q2 FY26 stood at ₹0.38 (standalone) and ₹0.14 (consolidated).

Outlook and guidance

  • FY26 volume guidance remains at 5.4-5.5 million tonnes, with 12% volume growth expected next year.

  • EBITDA per ton guidance is INR 1,500-1,550, with incentives expected to contribute INR 180-190 crore for the year.

  • CapEx for FY26 is projected at INR 710-720 crore, mainly for Silchar, solar plant, and land acquisitions.

  • Silchar unit (2 MTPA) to be commissioned by Q4 FY26; North India expansion to add 4-5 MTPA grinding capacity.

  • The Board has initiated a process to raise up to ₹1,500 crore through various modes, pending shareholder approval.

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