Star Cement reports strong Q2 FY26 financial performance

Star Cement Limited announced a strong performance for Q2 FY26, with sales volume growing 20% year-on-year to 11.73 lac tons, including 100 KT of clinker sales. Revenue increased by 26% year-on-year to INR 811 Cr, while EBITDA saw a 99% surge to INR 194 Cr. The company achieved its highest-ever EBITDA, PBT, and PAT for a second quarter, with Profit Before Tax rising 1121% to INR 92 Cr and Profit After Tax increasing 1154% to INR 71 Cr.

Despite a tepid September due to anticipated GST rate reductions, the company experienced a 20% year-on-year volume growth, with NE sales growing 2% and ROE sales by 45%. Premium sales as a percentage of Trade sales improved to 13.1% in Q2 FY26, up from 10.6% in Q2 FY25. The new grinding unit in Guwahati achieved an 83% utilization rate, contributing to a 45% year-on-year growth in Non-Trade volumes.

The company is also making strides in sustainability, with a 25.1% total power substitution from its 24.3MW WHRS. The commissioning of its new 12MW WHRS and the AFR for the new clinker line have significantly improved power mix and TSR, which now stands at 21.5%. Star Cement aims for a 55% green energy share by FY27 and 2x water positivity by 2025.