JCJSW Cement544480Earnings call transcript

Q2 FY27 call: volumes up 26% Y-o-Y, revenue up 33%, Nagaur reaches EBITDA breakeven

JSW Cement's Q2 FY27 earnings call transcript is out.

By ScoutQuest · Mon 2 Nov 2026, 4:04 PM IST · 3 min read

Total Volume

3.93 million tons, up 26% Y-o-Y

Revenue

INR1,912 crores (+33% Y-o-Y)

Operating EBITDA

INR278 crores (+4%)

What this transcript covers

This is the transcript of the 28 October 2026 earnings call where management discussed the unaudited standalone and consolidated results for the quarter and half year ended 30 September 2026, along with the operating outlook. Management described the quarter as one with a challenging external environment, citing geopolitical uncertainty from the ongoing West Asia crisis and a weaker monsoon.

Volumes led the quarter

• Total volume rose 26% Y-o-Y to 3.93 million tons.
• Cement volumes sold were 2.29 million metric tons, up almost 40% Y-o-Y.
• Excluding the North operations, cement volumes grew around 13% Y-o-Y.
• GGBS volumes grew 7% Y-o-Y, helped by project approvals on the demand side and demand from infrastructure and the RMC sector.

Realisation and product mix

• Cement realisation was INR4,781 per ton, up 3% Y-o-Y but a softening of 3% quarter-on-quarter.
• GGBS realisation was INR3,749 a ton.
• Trade mix stayed at 52% of cement.
• Clinker-to-cement factor rose to 58% as more OPC is being sold to maximise kiln usage.
• Lead distance increased by 9 kilometers to 294 kilometers.

Financial outcomes for the quarter

• Consolidated revenue INR1,912 crores, up 33% Y-o-Y and 0.8% quarter-on-quarter.
• Consolidated operating EBITDA INR278 crores, up 4% Y-o-Y, equal to INR708 per ton.
• Total EBITDA including other income INR295 crores.
• PBT INR101 crores, including a positive contribution of nearly INR20 crores from the JV.
• PAT about INR77 crores.
• Excluding North, on a like-for-like basis, revenue grew 14% Y-o-Y and operating EBITDA rose 3% to INR275 crores, or INR821 per ton.
• Net debt INR4,287 crores at end-September; net debt to EBITDA 3.2x; average cost of debt 7.67%.
• Capex cash outgo was INR483 crores in the quarter and INR820 crores in the first half; management said the capex number will be slightly higher.

North region crossed an operating milestone

• The Nagaur plant achieved EBITDA breakeven in Q2 with a slightly positive EBITDA contribution.
• Utilisation at the North plant rose to 75%.
• An additional 1 million ton per annum grinding capacity and an overland belt conveyor at Nagaur were commissioned in October, along with a waste heat recovery system and an alternate fuel rehandling co-processing system during the quarter.

Costs and green power

• Blended fuel cost rose from INR1.80 per MCal in Q1 to INR1.84 per MCal in Q2.
• Raw material, power and fuel cost fell 2% quarter-on-quarter, with a slightly higher fuel cost offset by product mix changes.
• Logistics cost was stable quarter-on-quarter, helped by a railway busy season surcharge waiver and reallocation of volumes between the Vijayanagar and Dolvi plants.
• 36 megawatt of wind capacity was added at Nandyal and Vijayanagar, lifting the green power share to 41% in Q2.

Guidance and outlook given by management

• Cement prices rose across zones in the latter half of September and in October; management expects these increases to sustain and support margins while fuel and other input costs remain elevated.
• Waste heat recovery and alternate fuel initiatives at Nagaur are expected to substantially reduce cost in the third and fourth quarters, with costs continuing to come down over the coming quarters.
• Pet coke prices are at very high levels and are expected to create more cost pressure in the coming quarter; the company is working on raising its share of domestic fuel to optimise costs.
• Management remains constructive on demand for the balance of the year as infrastructure execution and construction activity gather pace.

What a retail investor can track

• Whether the September-October price increases hold, given that realisations were still down quarter-on-quarter.
• The pace of cost reduction at Nagaur now that the extra 1 million ton per annum grinding capacity, the waste heat recovery system and the conveyor are running.
• Fuel cost direction, since blended fuel cost per MCal moved up sequentially.

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