#NuvocoVistas #Q1Results #CementIndustry #EBITDA #CapacityExpansion #VadrajAcquisition #BuildingMaterials #Premiumization #Sustainability #Deleveraging #IndianEconomy #ConstructionSector
Panipat: Nuvoco Vistas Corp. Ltd., one of India’s leading building materials companies, announced its financial results for the quarter ended June 30, 2025 (Q1 FY26), delivering a strong performance marked by record profitability, volume growth, and strategic capacity expansion initiatives. The company achieved its highest-ever first-quarter consolidated EBITDA of ₹533 crore, driven by robust operational performance and premiumization strategies.
Key Highlights for Q1 FY26
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All-time high Q1 EBITDA: ₹533 crore
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Cement Sales Volume: 5.1 MMT, up 6% YoY
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Revenue Growth: 9% YoY, reaching ₹2,873 crore
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Net Debt Reduction: ₹884 crore YoY, bringing net debt down to ₹3,474 crore
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Capacity Expansion: Acquisition of Vadraj Cement Ltd. to increase total capacity to ~31 MMT by Q3 FY27
Strong Financial and Operational Performance
The company reported a 9% year-on-year increase in revenue from operations, touching ₹2,873 crore in Q1 FY26. Cement sales volume stood at 5.1 million metric tonnes (MMT) during the quarter, registering a growth of 6% YoY. This growth was driven by sustained demand in core markets and the company’s continued emphasis on enhancing its trade mix and premium product portfolio.
The EBITDA performance was a major highlight for the company, with Nuvoco Vistas achieving ₹533 crore in consolidated EBITDA, its highest-ever first-quarter figure. This improvement came on the back of higher realizations, cost optimization measures, and a growing share of premium products in the overall sales mix.
Premiumization and Trade Mix Strategy Paying Off
Nuvoco Vistas continues to sharpen its focus on premium products as a strategic growth lever. The share of premium products in trade volumes rose to 41% in Q1 FY26, reflecting strong customer preference for high-quality solutions like Nuvoco Concreto and Nuvoco Duraguard. The company also achieved a robust trade mix of 76%, the highest in the last 13 quarters, further strengthening its brand positioning and profitability.
Strategic Acquisition to Drive Long-Term Growth
In a significant development, Nuvoco Vistas completed the acquisition of Vadraj Cement Limited (VCL) during the quarter. This move aligns with the company’s long-term strategy of expanding its presence in high-growth regions. The acquisition is expected to increase Nuvoco’s cement production capacity from 25 MMT to approximately 31 MMT by Q3 FY27, reinforcing its position as India’s fifth-largest cement group.
The new plants in Kutch and Surat will enable deeper penetration into the Western and Northern markets, complementing the company’s strong presence in Eastern India. According to the management, this acquisition is set to unlock significant synergies in terms of market reach, operational efficiency, and customer servicing.
Commitment to Deleveraging and Sustainability
Nuvoco Vistas also reiterated its commitment to maintaining financial discipline. The company reduced its like-to-like net debt by ₹884 crore YoY, bringing it down to ₹3,474 crore as of June 30, 2025. This achievement underscores the company’s focus on deleveraging while pursuing strategic growth initiatives.
On the sustainability front, Nuvoco continues to lead the industry with one of the lowest carbon emissions levels in the sector. The company further reduced emissions to 453.8 kg CO₂ per ton of cementitious material, down from 457 kg CO₂ per ton in FY24, showcasing its consistent efforts toward greener manufacturing and long-term ESG goals.
Management Commentary
Commenting on the company’s Q1 performance, Mr. Jayakumar Krishnaswamy, Managing Director, Nuvoco Vistas Corp. Ltd., said:
“The company witnessed healthy volume growth during the quarter. It maintained a sharp focus on premiumization and trade mix, which contributed to enhanced realizations and led to the highest-ever first-quarter consolidated EBITDA in the company’s history. Looking ahead, we remain committed to drive sustained growth and expand our market presence.”
He further added, “Following the successful acquisition of Vadraj Cement, the company is fully geared up to operationalize the plants at Kutch and Surat by Q3 FY27 and expand its market footprint in the Western region. Alongside this, the company will continue to prioritize initiatives around premiumization, geo-optimization, and cost efficiency to further strengthen its competitive edge.”
Outlook
With a clear strategy centered on capacity expansion, premium product growth, and sustainability, Nuvoco Vistas is well-positioned to capture emerging opportunities in India’s growing cement market. The company’s continued investments in operational excellence and geographic diversification are expected to bolster its leadership position and deliver long-term value to stakeholders.
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#NuvocoVistas #Q1Results #CementIndustry #EBITDA #CapacityExpansion #VadrajAcquisition #BuildingMaterials #Premiumization #Sustainability #Deleveraging #IndianEconomy #ConstructionSector
