The Tool Desk
Outbyte PC Repair FREERepair Windows errors before they cause bigger problemsFix Now →Outbyte Driver Updater FREEScan for outdated or missing drivers - takes under a minuteDriver Scan →iTechGuides is reader-supported. When you buy through links on our site, we may earn an affiliate commission. As an Amazon Associate I earn from qualifying purchases. Learn more
Start with the perimeter. Grasim Industries is a diversified listed parent, while its cement business is operated through UltraTech Cement. A valid comparison therefore uses Grasim’s consolidated numbers against diversified industrial groups, or compares UltraTech’s cement operations with cement-only peers such as Shree Cement, Ambuja Cements, ACC and Dalmia Bharat. Putting Grasim’s entire group revenue beside a cement producer’s revenue produces a misleading result.
This guide sets out a reproducible way to compare the businesses, identifies the figures that are currently established, and shows which data must be collected before ranking Indian cement stocks.
What exactly are you comparing?
Before opening a spreadsheet, define the business perimeter, reporting basis and period. Grasim’s consolidated accounts include several businesses and investments; cement is only one part of that group and is represented principally by subsidiary UltraTech Cement. A cement-only peer’s reported revenue, EBITDA, debt and capacity describe a different economic perimeter.
Do these 3 things before closing this tab:
1Fix the driver behind crashes, sound loss and screen glitches2Clear out junk files and repair common Windows errors3Scan for outdated or missing drivers - takes under a minuteThree valid comparison choices
| Question | Correct comparison perimeter | Why it is valid |
|---|---|---|
| How large and profitable is Grasim as a listed group? | Grasim consolidated results versus other diversified industrial groups | Both sides include all material operating segments, subsidiaries and group-level financing. |
| How competitive is the cement operation? | UltraTech consolidated cement operations versus listed cement producers | Capacity, volume, utilisation, cost and margin measures describe comparable cement businesses. |
| What exposure does a Grasim shareholder get to cement? | Grasim segment and subsidiary contribution, capital allocation and consolidated cash flows | This shows how cement sits inside the parent rather than treating the parent as a pure-play cement stock. |
Use the first choice for a holding-company or conglomerate analysis. Use the second for operating comparisons. Use the third when the investment decision concerns the combination of cement and Grasim’s other businesses.
#1 Best Overall
Set the reporting convention before collecting numbers
- State the fiscal year, such as FY2024–25 or FY2025–26.
- State whether every figure is consolidated or standalone.
- Use one currency and unit convention, normally Indian rupees in crore and cement volumes in million tonnes.
- Label every value as reported or calculated.
- Record whether growth reflects acquisitions, capacity additions, consolidation changes or only organic operations.
- Use the same share-price date and the same earnings period for any valuation ratio.
Grasim’s investor-relations materials provide quarterly results and annual reports. UltraTech’s investor financials materials provide annual reports, results, investor updates and earnings calls. Those documents should be the starting point for a reproducible worksheet.
What do the published Grasim and UltraTech figures actually show?
The currently established figures belong to different perimeters and fiscal years. Keep that distinction visible in any article, spreadsheet or investment note.
| Entity and period | Measure | Reported value | Interpretation |
|---|---|---|---|
| Grasim Industries, FY2025–26, consolidated | Revenue | ₹1,75,431 crore | Group revenue, not cement-only revenue. |
| Grasim Industries, FY2025–26, consolidated | EBITDA | ₹25,872 crore | Group EBITDA across its businesses. |
| Grasim Industries, FY2025–26, consolidated | Net worth | ₹1,03,470 crore | Group net worth. |
| Grasim Industries, FY2025–26, consolidated | PAT attributable to shareholders | ₹4,966 crore | Profit attributable to Grasim shareholders. |
| UltraTech Cement, FY2024–25, consolidated cement disclosure | Sales volume | 135.83 MT | Historical cement volume; do not label it FY2025–26. |
| UltraTech Cement, FY2024–25, consolidated cement disclosure | Capacity utilisation | 78% | Reported utilisation for that fiscal year. |
| UltraTech Cement, FY2024–25, consolidated cement disclosure | Revenue | ₹75,955 crore | Cement-operation revenue for FY2024–25. |
| UltraTech Cement, FY2024–25, consolidated cement disclosure | EBITDA | ₹13,302 crore | Cement-operation EBITDA for FY2024–25. |
Do not divide Grasim’s group EBITDA by UltraTech’s cement volume to create an “EBITDA per tonne.” The numerator and denominator do not describe the same business or period. A valid cement EBITDA-per-tonne calculation requires UltraTech cement EBITDA and UltraTech cement volume from the same reporting period and consolidation basis.
How should you compare Grasim with cement-only peers?
Use a two-layer model. The operating layer compares UltraTech with cement producers. The parent layer explains what a Grasim shareholder owns and how cash is allocated.
Layer one: cement operations
For UltraTech, Shree Cement, Ambuja Cements, ACC and Dalmia Bharat, collect capacity, dispatch or sales volume, utilisation, revenue, EBITDA, costs, leverage and cash flow on matched definitions. A company may report grey cement, blended cement, clinker or ready-mix volumes separately; do not add categories unless the annual report defines them as comparable.
Layer two: the diversified parent
For Grasim, map segment revenue and profit, subsidiary and associate contributions, capital expenditure, debt maturities, interest costs, operating cash flow and distributions. The relevant question is not “Is Grasim’s margin higher than a cement company’s?” It is “How does the cement subsidiary contribute to the group’s earnings, cash needs and risk alongside the other segments?”
Which operating metrics matter in cement?
Cement earnings are shaped by realised price, volume, plant utilisation, energy, freight, clinker intensity and the regional balance of demand. Compare the following metrics in a fixed order.
Free tools Windows power users keep installed
One-click scans. No signup required.
| Metric | How to calculate or read it | What it tells an investor | Important qualification |
|---|---|---|---|
| Installed capacity | Million tonnes per annum (MTPA) at the stated year-end | Potential production scale and future volume ceiling | Check whether announced, commissioned, leased or acquired capacity is included. |
| Sales volume | Reported cement or grey-cement sales in MT | Actual demand capture | Separate organic growth from acquired volume and check whether clinker is included. |
| Capacity utilisation | Reported volume divided by the company’s defined available capacity | Plant loading and fixed-cost absorption | Definitions differ by product, plant availability and the capacity denominator. |
| Revenue per tonne | cement revenue ÷ comparable cement volume |
Realised pricing and product mix | Use cement revenue only; exclude unrelated group revenue, taxes and non-cement businesses. |
| EBITDA per tonne | cement EBITDA ÷ comparable cement volume |
Operating profitability after price and cost effects | Match period, consolidation, volume definition and exceptional items. |
| Cost per tonne | Reported operating cost allocated to comparable cement volume | Structural cost position | Check whether depreciation, freight, employee cost and one-offs are included. |
| Cash conversion | Operating cash flow relative to EBITDA, with working-capital context | Whether accounting profit becomes investable cash | One-time inventory, receivables and advance payments can distort a single year. |
| Net leverage | (borrowings − cash) ÷ EBITDA, using matched definitions |
Balance-sheet risk and capacity to fund expansion | Include leases or exclude them consistently; explain the choice. |
Revenue and EBITDA per tonne
These ratios are useful only after the perimeter is aligned. Revenue per tonne can rise because of price increases, premium products, geography or a change in the volume denominator. EBITDA per tonne can improve through pricing, lower fuel costs, better utilisation, a richer product mix or temporary benefits. Explain the driver rather than treating the ratio as a complete measure of competitiveness.
Utilisation and capacity growth
Capacity expansion can reduce utilisation temporarily while new plants ramp up. Conversely, a high utilisation rate can signal tight supply but also leave less headroom before another capital project is required. Record the commissioning date and ramp-up status for every major addition.
What does the Indian industry context add?
The FY2024–25 UltraTech annual-report industry discussion states that India added nearly 30 million tonnes of cement capacity during FY2024–25 and had 655 million tonnes of installed capacity as of 31 March 2025. The same discussion presented an approximately 8% growth outlook for FY2025–26. That 8% figure is a dated forecast, not evidence of realised FY2025–26 growth; replace it with actual industry data when assessing the completed year.
Industry capacity and demand should be read together. New capacity can support long-term volume growth while increasing the risk of regional oversupply, price competition and lower utilisation. A national figure also hides regional freight economics: a producer with a strong position near demand centres may earn better margins than a larger producer that moves cement over longer distances.
How do energy, freight and clinker choices change margins?
The FY2024–25 cement disclosure identifies several operating levers that are directly relevant to cost comparison:
- Green power: renewable electricity can reduce exposure to grid and fossil-fuel costs, but compare the stated share, contract structure and capital required.
- Alternative fuels: co-processing waste can reduce conventional fuel use; check substitution rates, availability, logistics and regulatory conditions.
- Clinker conversion: replacing a portion of clinker with supplementary materials can lower energy intensity and emissions, subject to material quality and availability.
- Lead-distance optimisation: shorter movements from plant to market or better rail and dispatch planning can reduce freight per tonne.
- Capacity utilisation: higher loading spreads fixed costs, while shutdowns, commissioning and weak regional demand can work in the opposite direction.
Do not infer that one lever automatically produces a superior margin. A company may have lower fuel intensity but higher freight, or strong renewable-power access but a less favourable regional price mix. Compare the full cost stack and the geography behind it.
How should you handle sustainability claims?
UltraTech’s FY2024–25 annual report states: “As the industry leader, UltraTech is driving the sustainability agenda for the Indian cement sector and is fully committed to achieving Net Zero by 2050.” The statement is a company position; the cited excerpt does not identify an individual speaker. Treat it as a target and commitment, then examine disclosed baselines, interim milestones, capital expenditure, assurance and progress indicators before using it in an investment conclusion.
For a cross-company comparison, collect emissions intensity, alternative-fuel substitution, renewable-power share, clinker factor, water use and target years using each issuer’s stated definitions. A target year alone is not a performance metric.
How can you tell whether growth is organic or acquisition-led?
Acquisitions can lift reported capacity, volume and revenue without showing the same underlying demand or efficiency improvement as a new plant built and operated by the existing network. For every growth period, create a bridge with:
- Opening capacity and volume.
- Capacity commissioned during the year.
- Acquired capacity or volume, including the date it entered consolidation.
- Like-for-like volume change at facilities owned in both periods.
- Divestments, closures and temporary outages.
- Currency, accounting or consolidation changes, if applicable.
Describe the growth as organic, acquisition-led or mixed only after this bridge is complete. This is especially important when comparing UltraTech’s expansion with peers that use different acquisition strategies.
What should a comparable peer table contain?
A ranked FY2025–26 table for Shree Cement, Ambuja Cements, ACC and Dalmia Bharat cannot be completed from the currently established figures. Matched FY2025–26 audited statements for those peers, with aligned definitions and units, must be collected before ranking margins, leverage, valuations or market share.
Rank #4
- Used Book in Good Condition
| Column | Required definition | Status for the available material |
|---|---|---|
| Capacity | Installed cement capacity at the same year-end, in MTPA | UltraTech’s FY2026 integrated report describes grey-cement capacity at 200 MTPA and beyond; matched peer values are not stated. |
| Sales volume | Comparable cement volume for the same fiscal year, in MT | UltraTech FY2024–25 volume is stated; matched FY2025–26 peer values are not stated. |
| Utilisation | Company-defined volume divided by company-defined available capacity | UltraTech FY2024–25 is stated; peer definitions and matched periods are not stated. |
| Revenue | Consolidated cement revenue in ₹ crore | UltraTech FY2024–25 is stated; matched FY2025–26 peer values are not stated. |
| EBITDA | Consolidated cement EBITDA in ₹ crore | UltraTech FY2024–25 is stated; matched FY2025–26 peer values are not stated. |
| EBITDA per tonne | Same-period cement EBITDA divided by same-period cement volume | Calculate only after matched peer inputs are available. |
| Net debt and leverage | Same-date borrowings, cash and EBITDA definitions | Matched peer values are not stated. |
| Valuation | Same share-price date and identical earnings period | Not stated; do not rank valuations from unmatched dates. |
“Not stated” is preferable to filling a blank with a number from a different quarter, standalone statement or website summary. Such substitutions create false precision.
What’s actually slowing this PC down?
Pick the symptom - the matching free tool is one click away.
How should Grasim’s capital allocation be assessed?
At the parent level, examine whether management is funding growth while preserving financial resilience. Grasim’s FY2026 annual-report landing page includes the CFO statement: “We deploy capital with discipline, balancing growth ambitions with financial prudence.” It also identifies “Sustained cost leadership” as central to margin expansion, market share gains and long-term profitability.
Turn those statements into testable questions:
- Which segments receive the largest capital expenditure, and what return or payback information is disclosed?
- Are investments funded by operating cash flow, new borrowing, asset sales or equity?
- How do debt maturities and interest costs change after major projects or acquisitions?
- Do subsidiaries and associates contribute cash, require funding or create minority-interest effects?
- Does reported PAT attributable to shareholders move with operating cash flow, or is the gap explained by working capital, depreciation, exceptional items or associates?
This approach prevents a group-level growth narrative from being mistaken for cement-sector operating performance.
What mistakes most often invalidate the comparison?
Mixing fiscal years
UltraTech’s cited volume, utilisation, revenue and EBITDA are FY2024–25 measures. Grasim’s cited group figures are FY2025–26. Put the period in every table heading and calculation, not just in a footnote.
Mixing consolidated and standalone accounts
A standalone parent statement can exclude subsidiaries that are central to the economic exposure. Use consolidated accounts when comparing groups, and document any exception.
Quick wins for a faster PC:
Scan for outdated or missing drivers - takes under a minuteDriver Scan →Repair Windows errors before they cause bigger problemsFix Now →Comparing group EBITDA with cement EBITDA
Group EBITDA includes non-cement operations. It cannot be used as a cement margin benchmark or divided by cement tonnes.
Best Value
- Used Book in Good Condition
Ignoring exceptional items
Acquisition costs, impairment, restructuring, disposal gains and other one-offs can distort EBITDA, PAT and cash flow. Show reported and adjusted measures separately only when the issuer defines the adjustment clearly.
Ranking on capacity alone
Capacity is potential, not sales or profit. Pair it with utilisation, regional demand, realised pricing, cost per tonne and cash generation.
Using valuation ratios from different dates
Price-to-earnings, enterprise-value-to-EBITDA and market-capacity comparisons become unreliable when prices and earnings periods are not synchronized.
A repeatable workflow for investors
- Write the question. Decide whether you are analysing Grasim as a diversified parent, UltraTech as a cement operator or a shareholder’s blended exposure.
- Freeze the period. Choose the fiscal year and year-end date before downloading statements.
- Freeze the perimeter. Mark consolidated or standalone, cement-only or group-wide, and the precise product categories included.
- Build the raw-data sheet. Enter reported capacity, volume, utilisation, revenue, EBITDA, costs, cash flow, debt and capital expenditure with page references in your own records.
- Normalize units. Convert rupees, tonnes and annualisation conventions consistently; retain the original reported figure beside every conversion.
- Separate reported from calculated. Label formulas such as revenue per tonne and net leverage, and show their numerator and denominator.
- Adjust for structural events. Mark acquisitions, commissioning, closures, consolidation changes and exceptional items.
- Explain the drivers. Attribute movement to price, volume, mix, fuel, freight, clinker, utilisation, finance cost or one-off effects where the issuer provides evidence.
- Run a comparability check. Reject any peer row that uses a different period, perimeter, unit or definition without a clear qualification.
- Only then form a view. Present strengths, risks and unanswered questions rather than a false single-number ranking.
How should an investor interpret the result?
A strong cement operator typically combines durable regional demand, efficient logistics, disciplined energy use, competitive clinker intensity, healthy utilisation and cash generation. A strong diversified parent additionally needs sensible capital allocation across segments, manageable leverage and transparent subsidiary economics.
Those qualities can point in different directions. UltraTech may be the relevant benchmark for cement scale and operating execution, while Grasim may suit an investor seeking diversified exposure with cement as a major subsidiary. Neither conclusion follows from comparing the two headline revenue figures. It follows from matching the business perimeter, period and metric definitions, then explaining the operating and capital-allocation drivers behind the numbers.
Bottom line
Compare UltraTech—not Grasim’s entire consolidated group—with cement-only peers on matched fiscal-year, consolidated operating data. Compare Grasim itself as a diversified parent using segment mix, subsidiary contribution, capital allocation, debt and cash flow. The published figures establish useful anchors, but a defensible FY2025–26 peer ranking requires audited, like-for-like data for each company before drawing conclusions about margins, leverage, valuation or market leadership.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
