JSW Cement Q2 profit falls 1.3% to ₹85 crore as margin shrinks; approves ₹1,078 crore expansion
JSW Cement’s revenue rose 33.1% year-on-year to ₹1,912 crore in Q2 FY27, while EBITDA increased 3.8% to ₹278 crore. The company approved capacity expansions at Vijayanagar and Dolvi.
JSW Cement reported a 1.3% year-on-year decline in net profit to ₹85.3 crore for the second quarter of FY27, compared with ₹86.4 crore in the corresponding period last year.Revenue rose 33.1% year-on-year to ₹1,912 crore from ₹1,436 crore. Earnings before interest, tax, depreciation and amortisation increased 3.8% to ₹278 crore from ₹267 crore.However, the EBITDA margin contracted to 14.5% from 18.6% a year earlier.JSW Cement approves ₹1,078 crore capacity expansionThe company’s board has approved two capacity expansion projects involving a total investment of approximately ₹1,078 crore. The projects will be financed through internal accruals and debt.At Vijayanagar in Karnataka, the board approved an additional grinding system with a capacity of 2 million tonnes per annum for ground granulated blast furnace slag .
The project involves an estimated investment of ₹509 crore and is expected to be commissioned by May 2028.Vijayanagar currently has a rated cement and GGBS production capacity of 6 MTPA. The expansion is intended to strengthen production capabilities at the facility.At Dolvi in Maharashtra, the board approved an additional grinding mill with a capacity of 2 MTPA. The project will cost an estimated ₹569 crore and is expected to be commissioned by October 2028.Dolvi currently has a cement grinding capacity of 4.5 MTPA. The expansion is aimed at increasing capacity and supporting the company’s growth plans.Corporate guarantee for subsidiaryJSW Cement will provide a corporate guarantee of up to ₹60 crore in favour of IndusInd Bank for credit facilities of up to ₹60 crore sanctioned to its wholly owned subsidiary, JSW Green Cement Private Limited.The subsidiary will use the facilities to meet its capital expenditure and working capital requirements as part of its proposed growth plan.Shares of JSW Cement closed 0.52% lower at ₹116.99 on October 27, ahead of the company’s Q2 results announcement.Also Read: Stocks to Watch for October 28: Jio Platforms, TATA Capital, Infosys, AWL Agri and more
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