Archive · 27 Dec 2025
Shree Cement's Strategic Expansion and Investment Outlook
Shree Cement is a company that makes cement.
They are planning to increase their production capacity to make more cement.
They want to grow by about 10% in the next few years.
The company is focusing on making more money by selling better-quality cement and using renewable energy.
They are also planning to expand their operations in Dubai.
The company is doing well financially and has no debt.
They are planning to fund their expansion using their own profits.
Investors should watch how well the company sells its cement and consider buying more shares if the price goes down.
Shree Cement plans to increase its production capacity to 68.8 mtpa by FY26 and aims for 80 mtpa by FY28 or FY29.
The company focuses on value over volume, prioritizing pricing, branding, and operational efficiency.
Shree Cement has a strong financial position with a net cash status and plans to fund expansions through internal accruals.
The company is expanding its presence in Dubai, with plans for a 3-mtpa capacity if demand remains strong.
Investors are advised to monitor sales growth from capacity expansion and consider accumulating the stock on dips.
- Who
- Shree Cement, a cement manufacturer in India
- What
- Capacity expansion and strategic focus on value over volume
- When
- Projected capacity expansion by FY26 and FY28 or FY29
- Where
- India and Dubai
- Why
- To achieve sales growth and maintain operational efficiency
- Current Capacity
- 62.8 mtpa (million tonnes per annum)
- Projected Capacity by FY26
- 68.8 mtpa
- Long-term Capacity Goal
- 80 mtpa by FY28 or FY29
- Current Utilisation Rate
- 60-65%
- EV/EBITDA Ratio
- 15.7 times one-year forward EBITDA
- Net Debt to EBITDA
- -1.2 times in H1FY26 (net cash position)
- Revenue Growth (H1FY26)
- 10%
- PAT Growth (H1FY26)
- 170%