Strong volume growth offset by margin compression; costs claimed peaked

Cost headwinds cited, but PAT fell 17.5% YoY despite 18% revenue growth; margin squeeze evident

Consolidated volumes 114.5 MT vs 99.6 MT prior year Q1 = +14.9% growth; standalone India 10.4-10.5 MT vs 9.1 MT = +14.3%; corroborated

Clinker fell 1.58 to 1.50; trade sales fell 71% to 62%; no guarantee this reverses if coal sourcing remains poor

HY1 targeting 19.5-20 MT; at 52% of volume in H1 (industry norm 48%), implies H2 ~19-20 MT = ~40 MT full year; supported

RMC revenue ₹109 Cr Q1, but EBITDA not disclosed; no profitability evidence yet; overstated near-term contribution

Pet-coke 54%→9%, coal 32%→81% due to Middle East war. Fuel cost rose ₹0.13/kcal (7.1% increase). Claimed 'peaked' in Q1 but margin impact real.

Forced non-trade shift due to clinker factor constraint (1.58→1.50). Lower margin product. Mgmt says temporary but no reversal mechanism clear yet.

High-ash coal reduced pozzolanic content, raised gypsum consumption. Limits blended cement, favors OPC (non-trade). Reversal depends on coal quality recovery.

Shift from standalone to consolidated numbers; Q1 consolidated EBITDA ₹1,272 Cr vs ₹1,333 prior Q (EBITDA/ton ₹1,111 vs ₹1,339). Masks performance deterioration via consolidation.

Prior Q4 call: 40 MT. Current: 10.5 MT Q1, 9-9.5 MT Q2 target = ~20 MT H1, on track for 40 MT. No change.

Fuel 1.95/kcal. Clinker 1.50 vs 1.58 prior. Trade 62% vs 71%. Realization ₹4,919/MT (standalone) vs ₹4,854.

Fuel almost peaked; may go up ₹0.02-0.03/kcal only. Pet-coke contracted supplies now arriving. Expects no material increase if Middle East calm.

Coal quality (20% ash) forced clinker ratio down 1.58→1.50. High-ash clinker limits pozzolanic dilution, requires more gypsum (expensive). Result: must sell more OPC to non-trade. Gypsum does not affect trade vs non-trade; only raw-material cost.

Target 70% trade, 30% non-trade historically. But no timeline given; depends on clinker factor recovery.

North 66% util, +20% growth. East 60% util, flat (coal quality constraint). South 57% util, +54% growth (11→16.9 MT due to new plant + West India penetration). Overall 62%.

East is flat for Shree due to own coal quality & clinker factor constraint (1.50 vs Nuvoco's 1.7). East is trade market where higher conversion helps. Not market; own constraint.

We anticipate so but never give EBITDA projections. As of July 31, sold 3.1 MT this month, demand okay, fuel not increased. If Middle East calm, expect better profitability. Why wait H2, look at Q2 only.

Hopefully, yes.

I will not disclose. Look at consolidated grey cement business EBITDA and volumes; figure it out yourself. Not going into specific number game.

Where is the lower cost? You do your math again. It's not lower.

I'm not going to share it.

East +20% incremental, South +penetration to West India. Industry 7-8% growth, Shree targeting 10%. Did 35.4 MT last year, guiding 40 MT FY27.

FY27 capex ₹1,500 Cr maintained (₹456 Cr in Q1). Northeast 1 MT test at Q4 FY28; infrastructure for 4-5 MT total. ₹1,800 Cr per MT capex because learning steps; duopoly (Star, Dalmia). Not buying $5 EBITDA at $110.

No improvement Q1; was fighting on cost & production front, not ideal quarter. Should be on track to catch up delta going forward.

Electric commercial vehicles (ECVs) being piloted; 100 units targeted FY27. 40L diesel vehicle costs ₹1Cr; ECV ₹2.5 Cr but fuel cost 1/10th. Renewable energy 61%→66%. Rail 9% volumes. All cost-focused.

Identified few sites, small pilot underway. If succeeds, will scale. BESS 85% efficiency (15% loss); must load cost analysis with 85% availability. Theoretical now; testing viability before multiply.

Q1 clinker 1.50 vs 1.58 prior. (No year-out target stated explicitly.)

As of this morning (July 31) 8:30 meeting, all approvals in place. Media reports can be dismissed. Only Guinness Book World Record holder of brownfield plant commissioning in 14 months.

RMC revenue ₹109 Cr Q1, ₹90 Cr March'26, ₹40 Cr June'25.

Not at the moment. Give one more quarter, will get back in next call.

Lead distance 459→445. Consolidated net cash June'25 ₹7,733 Cr → June'26 ₹8,348 Cr.

No. Don't have heart to buy $5 EBITDA at $110 capex then admit wrong decision. 40-year history; know the business.

Never take a call on selling price in 40-year career. Market-related. Don't want to take investors up garden path. Give cost guidance if external env same; price, no call.

₹1,500 Cr is India-only. UAE expansion funded from UAE ops, no remittance. Don't have consolidated capex number today; will share after returning to Kolkata by 4-5 Aug.

Guided Q4 FY26, maintaining on call. Q1 10.5 MT + Q2 9-9.5 MT target = 19.5-20 MT H1, on track.

Fuel cost 1.95/kcal claimed peak; pet-coke arriving; gypsum cost expected to normalize. But no specific margin % target given; 'almost peaked' is hedge.

Clinker factor recovery (1.50→1.55+) contingent on coal quality improvement. No guarantee timeline.

Q1 spent ₹456 Cr. FY27 focused on RMC, logistics, Meghalaya infrastructure. UAE doubling funded from UAE cash.

Learning curve model; approvals confirmed; duopoly market (Star, Dalmia); ₹1,800 Cr/MT capex intensity; subsequent expansion cheaper.

Pet-coke cut 54%→9%; forced coal shift to 20% ash content. Fuel cost spiked 1.82→1.95/kcal (+7.1%). Management claims reversal but no certainty if war escalates.

Clinker factor 1.58→1.50 due to high-ash coal chemical interaction; forces OPC-heavy production; trade sales fell 71%→62% (lost premium segment).

PAT fell 17.5% YoY despite 18% revenue growth; fuel +7.1%, non-trade mix loss (lower margin), gypsum cost elevated. Realization +₹65/MT insufficient.

East utilization 60%, flat YoY growth (vs 20% North, +54% South). Coal quality constraint limits conversion factor to 1.50 vs Nuvoco 1.7. Structural underperformance vs peer.

RMC revenue ₹109 Cr Q1 but acknowledged as profit-neutral. 26 operational (19 start of year + 8 added Q1), +10 planned Q2. Capital being deployed with minimal EBITDA contribution.

NE plant 1 MT initial, infrastructure for 4-5 MT. Duopoly (Star, Dalmia) = pricing discipline risk. ₹1,800 Cr/MT capex intensity high; scaling contingent on market acceptance.