RCThe Ramco Cements500260Quarterly results

Q2FY27 press release: revenue up 10% to Rs.2,466 crores, EBITDA down 16%

Q2FY27: net revenue Rs.2,466 crores, up 10% YoY.

By ScoutQuest · Thu 5 Nov 2026, 6:26 PM IST · 3 min read

Net Revenue

Rs.2,466 crores, up 10% YoY

EBITDA

Rs.331 crores, down 16%, margin 13%

Profit Before Tax

Rs.52 crores

Volume and revenue grew

• Cement sale volume for Q2FY27 was 4.74 million tons against 4.4 million tons in Q2FY26, a growth of 8%, achieved despite demand disruption from monsoon in Kerala, Karnataka, Odisha and West Bengal.
• Cement capacity utilisation was 72% against 71%.
• Net revenue was Rs.2,466 crores against Rs.2,242 crores, a growth of 10% year on year.
• The construction chemicals business sold 2.04 lakh tons against 1.48 lakh tons, up 38%, with net revenue of Rs.130.77 Crores against Rs.87.26 Crores, up 50%.

Profitability: lower EBITDA and margin

• EBITDA was Rs.331 crores against Rs.394 crores, a decline of 16%. The company attributes this to increased costs of fuel and packing materials due to the West Asia War.
• Blended EBITDA per ton was Rs.669 against Rs.866.
• EBITDA ratio stood at 13% against 18%.
• Blended fuel consumption per ton was equivalent to $140 (cost per Kcal Rs.1.99) against $122 (Rs.1.49). Fuel cost was also affected by rupee depreciation of 10% year on year.
• Power and fuel cost per ton of cement rose to Rs.1,397 against Rs.1,029. Domestic diesel prices rose 6% and polymer prices rose 43% year on year.
• Green energy usage improved from 48% to 50%, helped by added WHRS capacity at RR Nagar.

Below the operating line

• Interest cost reduced to Rs.93 crores from Rs.111 crores, in view of repayment of borrowings during the previous year.
• Depreciation was Rs.190 crores against Rs.182 crores, higher after commissioning of WHRS at RR Nagar and the railway siding at Kolimigundla during FY26.
• Profit of Rs.5 crores from sale of surplus lands is recognised under Exceptional Items.
• Profit before tax (including exceptional items) was Rs.52 crores against Rs.100 crores in Q2FY26.

Tamil Nadu mineral tax matter

• The Government of Tamil Nadu imposed a Mineral Bearing Land Tax of Rs. 160 per tonne of limestone from 4-4-2025. This translated into a variable cost impact of Rs.33 crores (equivalent to Rs.69 per ton of cement) in Q2FY27.
• Under the Mines and Minerals (Development and Regulation) Amendment Act, 2026, effective 22-8-2026, the company believes the tax is no longer payable. Since the state portal for limestone transport permits has not been updated, the levy has been disputed and is being paid under protest.
• Rs.8.61 crores remitted for 22-8-2026 to 30-9-2026 has not been recognised as an expense. The matter has been represented to the Government of Tamil Nadu and is pending.

Capacity and capex

• Debottlenecking at Jayanthipuram added 0.73 MTPA; total cement capacity now stands at 27.17 MTPA.
• The company plans to reach cement capacity of ~31 MTPA by Mar-27 with commissioning of Line-2 at Kolimigundla. A clinkering unit of 3.15 MTPA at Kolimigundla is expected ahead of schedule by Dec-26.
• WHRS capacity of 15 MW is expected to be commissioned at Kolimigundla along with Line-2.
• A construction chemicals manufacturing unit at Kolimigundla is proposed, with capacity of 1.2 lac tons p.a. at a cost of Rs.20 Crores, expected to be completed by Q2FY28.
• Capex incurred in Q2FY27 was Rs.197 crores, including maintenance capex; capex guidance for FY27 is estimated at Rs.800 crores.

Asset sales and debt

• Over the past two years up to Mar-26, the company monetised Rs.1,098 crores through sale of non-core assets. The remaining identified non-core assets are valued at ~Rs.150 crores, of which Rs.29 crores was realised during H1FY27.
• Total debt as at 30-09-2026 was Rs.3,963 crores against Rs.3,852 crores as at 31-3-2026.
• Cost of debt for Q2FY27 was 7.04% against 7.18% in Q2FY26.

What this means for a reader

The release shows a company growing its top line and volumes while its operating profit and margin have fallen, which it links to fuel and packing costs. It also carries the outcome of a state tax dispute, where a portion of tax paid is being treated as disputed rather than as an expense, and a debt level that is slightly higher than at the previous year-end.

Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.

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