What Is the Origin and Legacy of UltraTech Cement?
UltraTech Cement, part of the Aditya Birla Group, began operations in 1983 and has grown to become India’s largest cement producer. It commands a dominant position in the grey cement, white cement, and ready-mix concrete (RMC) segments. With manufacturing operations spread across India and global markets, UltraTech has a consolidated capacity of over 116.8 million tonnes per annum (MTPA).
The company operates 12 integrated units, 19 grinding units, and 7 bulk terminals, with international operations in UAE, Bahrain, and Sri Lanka. Over the years, it has scaled through aggressive expansion, including strategic acquisitions such as Jaypee Cement’s assets and Binani Cement.
How Has UltraTech Cement’s Stock Performed Recently?
As of May 12, 2025, UltraTech Cement is trading at ₹11,631 with a market cap of ₹3,42,737 crore. The stock has returned over 22% in the last one year and continues to exhibit strong investor confidence with a 52-week high of ₹12,341 and low of ₹9,426.
Source: Screener
What Are UltraTech Cement’s Core Business Segments?
UltraTech operates across the following business areas:
- Grey Cement: Primary revenue driver with operations pan-India.
- White Cement and Putty: Manufactured under the Birla White brand.
- Ready-Mix Concrete (RMC): Supplied to urban infrastructure projects.
- Building Products: Tiles adhesives, precast products, dry mix mortars.
The company services a wide range of clientele, from individual home builders to large-scale government infrastructure and urban housing projects.
What Are the Key Financial Metrics?
| Metric | Value |
|---|---|
| Market Cap | ₹3,42,737 crore |
| Stock Price | ₹11,631 |
| P/E Ratio | 56.0 |
| Book Value | ₹2,399 |
| Dividend Yield | 0.60% |
| ROCE | 10.9% |
| ROE | 9.34% |
| Q4 Net Profit (FY25) | ₹2,474.79 crore |
| Q4 Sales (FY25) | ₹23,063.32 crore |
| Qtr Profit Growth (YoY) | 7.44% |
| Qtr Sales Growth (YoY) | 12.95% |
Source: Screener
How Does UltraTech Cement Compare with Peers?
| Company | CMP (₹) | P/E | Market Cap (₹ Cr) | ROCE (%) | ROE (%) | Qtr Sales Var (%) |
|---|---|---|---|---|---|---|
| UltraTech Cement | 11,631 | 56.0 | 3,42,737 | 10.9 | 9.34 | 12.95 |
| Ambuja Cements | 541.5 | 31.88 | 1,33,378 | 10.61 | – | 11.18 |
| Shree Cement | 29,980 | 88.42 | 1,08,170 | 14.76 | – | -11.95 |
| JK Cements | 5,140 | 62.93 | 39,715 | 15.80 | – | -0.16 |
| ACC | 1,854.95 | 14.97 | 34,833 | 17.58 | – | 12.16 |
| Nuvoco Vistas | 340.95 | 557.56 | 12,177 | 3.95 | – | 3.71 |
| Birla Corporation | 1,270.25 | 30.12 | 9,782 | 7.05 | – | 6.05 |
We have covered JK Cements and ACC in our blogs, click on the aforementioned links to know more!
Source: Screener
What’s New with UltraTech Cement?
- Dividend Payout: Declared a final dividend of ₹77.50 per share for FY25.
- Capacity Expansion: Targeting 183.5 MTPA production capacity by FY27 through organic projects and acquisitions (including India Cements).
- Diversification Move: Entering the wires and cables market with a ₹1,800 crore investment to expand its building material portfolio.
Sources: UltraTech Cement Press Releases, Reuters
What Are UltraTech’s Future Growth Plans?
UltraTech Cement has announced a capex plan of ₹10,000 crore to strengthen infrastructure, expand its premium product range, and deepen distribution. It expects double-digit revenue growth in FY26, aided by real estate revival and infra project momentum.
How Is the Cement Industry Positioned?
The Indian cement market is witnessing:
- Demand boost from PM Awas Yojana, Smart Cities Mission, and NHAI road projects.
- Input cost pressures due to fuel and raw material volatility.
- Consolidation trend as larger players acquire regional cement firms.
India is expected to become the third-largest cement consumer globally by 2030, creating growth visibility for incumbents.
Has UltraTech Cement Launched Any Iconic Campaigns?
Yes, UltraTech is known for its “India’s No.1 Cement” branding across TV, print, and digital channels. Their long-running slogan “Build Beautiful” and campaigns like “Baat Ghar Ki” have helped it become a trusted household brand.
What Are the Pros and Cons?
Pros:
- Largest cement capacity and pan-India reach.
- Well-capitalized to fund growth and acquisitions.
- Diversifying into adjacencies like cables and building products.
Cons:
- Premium valuation vs peers (P/E 56x).
- ROE and ROCE slightly below smaller peers.
- Profitability sensitive to input cost swings.
UltraTech Cement stands tall as India’s cement leader, backed by scale, consistent expansions, and a brand-first approach. While short-term cost pressures and premium valuations warrant monitoring, the company’s long-term fundamentals remain anchored in robust capacity, industry leadership, and growth readiness.
Disclaimer: This blog is for informational purposes only and does not constitute investment advice.
Data Sources: Screener, Reuters, UltraTech Cement official site, Economic Times, Moneycontrol
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