Archive · 29 Jul 2026
Mid-cap cement stocks trade at discount to UltraTech
In the June 2026 quarter, mid-cap cement companies like Dalmia Bharat, Nuvoco Vistas Corporation, and The India Cements faced challenges such as regional pricing pressures and rising operational costs.
Despite these challenges, Nuvoco Vistas Corporation reported a significant increase in net profit, while The India Cements turned around from a loss to a profit.
Dalmia Bharat, however, saw a decline in net profit due to exceptional expenses.
These mid-cap companies trade at a significant discount to UltraTech Cement, the largest cement company in India, which maintains a higher valuation due to its strong market presence and better operational efficiency.
Investors are closely watching these companies for future performance and potential valuation changes.
Mid-cap cement companies trade at a significant discount to UltraTech Cement.
Dalmia Bharat faced pricing pressures in the eastern region, leading to a decline in core operating profit margins.
Nuvoco Vistas Corporation reported a 19.8% increase in net profit due to higher realisations in the western region.
The India Cements turned around from a loss to a profit due to aggressive cost controls.
UltraTech Cement maintained stable operational performance with flat core operating profit margins.
- Who
- Dalmia Bharat, Nuvoco Vistas Corporation, The India Cements, UltraTech Cement
- What
- Mid-cap cement companies trading at a discount to UltraTech Cement
- When
- June 2026 quarter
- Where
- India
- Why
- Due to regional pricing pressures, rising operational costs, and varying performance across different regions.
Mid-cap Cement Companies
UltraTech Cement
Market Valuation
Mid-cap Cement Companies
Mid-cap cement companies like Dalmia Bharat, Nuvoco Vistas Corporation, and The India Cements trade at a significant discount to UltraTech Cement, with enterprise values ranging from $60 to $93 per tonne compared to UltraTech's $188 per tonne.
UltraTech Cement
UltraTech Cement, the largest cement company in India, maintains a higher valuation due to its strong market presence and better operational efficiency.
Operational Performance
Mid-cap Cement Companies
Mid-cap companies face challenges such as regional pricing pressures, rising operational costs, and varying performance across different regions. For instance, Dalmia Bharat experienced a decline in core operating profit margins due to pricing pressures in the eastern region.
UltraTech Cement
UltraTech Cement has managed to maintain stable operational performance with flat core operating profit margins and better control over operating costs through the use of renewable energy and optimized logistics.
Profitability
Mid-cap Cement Companies
Nuvoco Vistas Corporation reported a 19.8% increase in net profit, while The India Cements turned around from a loss to a profit due to aggressive cost controls. Dalmia Bharat, however, saw a significant decline in net profit due to exceptional expenses.
UltraTech Cement
UltraTech Cement continues to lead in profitability with stable operational metrics and a strong market position.
- Dalmia Bharat
- Fourth-largest cement company in India, with a capacity of 54.7 million tonnes.
- Nuvoco Vistas Corporation
- Operates in eastern, northern, and western regions, with a capacity of 27 million tonnes.
- The India Cements
- Strong focus in the southern region, with a significant increase in capacity utilization.
- UltraTech Cement
- Largest cement company in India, with a capacity of over 200 million tonnes.
- Enterprise Value per Tonne
- Dalmia Bharat: $76.8, Nuvoco Vistas Corporation: $60, The India Cements: $93, UltraTech Cement: $188.