Synopsis:
Orient Cement reported a 454% YoY jump in profit and 24.4% revenue growth in Q1FY26, reflecting strong operational performance and improving efficiency across its cement business.
A leading cement manufacturer has reported explosive financial growth, triggering significant market excitement. This article details their latest quarterly results, featuring a staggering 454% year-on-year surge in profit and a solid 24.4% revenue increase YoY, leading to a nearly 6% jump in their stock price following the announcement.
Orient Cement Limited’s stock, with a market capitalisation of Rs. 5,315 crores, rose to Rs. 267.80, hitting a high of up to 6.11 percent from its previous closing price of Rs. 252.37. However, the stock over the past year has given a negative return of 25 percent.
Q1 Financial Highlight
The company reported a strong performance in Q1FY26, with revenue rising 24.4 percent YoY to Rs. 866 crore, compared to Rs. 696 crore in Q1FY25. On a sequential basis, revenue grew 5 percent from Rs. 825 crore in Q4FY25. Profit saw a significant jump of 454 percent to Rs. 205 crore, up from Rs. 37 crore YoY and 388 percent jump from Rs. 42 crore QoQ, indicating strong operational leverage. EBITDA margin improved sharply to 21.1 percent from 13.8 percent in the previous year.
Despite this quarter’s robust results, the company’s 3-year performance remains muted, with a flat 3-year sales CAGR of 0 percent and a negative 3-year profit CAGR of -30 percent. However, a modest improvement is seen in return ratios, with ROE posting a 3-year CAGR of 8 percent, reflecting improving capital efficiency.
Recent Changes
Ambuja Cements received CCI approval on March 4, 2025, to acquire a 46.8% stake in Orient Cement. It will also launch an open offer for an additional 26% at Rs. 395.40 per share, taking the total potential stake to 72.8%. As of June 2025, Ambuja Cements owns 72.66% in the company.
Orient Cement Ltd is primarily engaged in the manufacture and sale of cement. The company has manufacturing facilities set up at Devapur in Telangana, Chittapur in Karnataka and Jalgaon in Maharashtra. Its product portfolio mainly includes Pozzolana Portland Cement (PCC) and Ordinary Portland Cement (OPC).
Written By Fazal Ul Vahab C H
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