Firm pricing lifts Dalmia Bharat, but will demand hold?

Dalmia Bharat Ltd enters FY26 on a firm footing thanks to the surprise resilience in cement prices in two of its key regions—southern and eastern India.

- Manvi Agarwal

Even as demand remained patchy in these areas, prices rose by ₹35 and ₹12 per bag, respectively, in March quarter (Q4FY25) on an average, with a marginal rollback in June, as per PL Capital.

This is remarkable, given the early monsoons this year and generally muted consumption in the east. One bag of cement weighs 50kg.

For Dalmia Bharat, which has nearly 80% of its capacity in the two zones, pricing uptick is good news. In a report on 26 June, PL Capital said it estimates an Ebitda per tonne jump of ₹200-250 sequentially, pushing it closer to the ₹1,100 per tonne mark. That's a solid recovery from ₹819 Ebitda per tonne it had in FY25, a year hit by falling realisations and flat volumes.