UltraTech Needs Price Support

Push factors

- Harsha Jethmalani

An India-focused UltraTech Cement Ltd is poised to gain more muscle in FY26. Integration of acquired assets—The India Cements Ltd and Kesoram Industries Ltd—is progressing well. The demand outlook is also upbeat.

The pace of government's capital expenditure for infrastructure projects in Bihar, Andhra Pradesh, Gujarat and Maharashtra was better in Q1FY26 than last year, the management said. UltraTech expects it to generate healthy cement demand.

UltraTech is confident of achieving double-digit volume growth in FY26, outpacing the industry's estimate of mid-to-high single digits.

The company's consolidated grey cement volume grew 9.7% year-on-year to 36.83 million tonnes (mt) in Q1FY26. This includes contributions from acquisitions and overseas sales. Domestic grey cement volume rose 8.7% year-on-year to 34.64 mt. "Like-to-like volumes rose 3% year-on-year, which would be slightly below industry," said HDFC Securities.