Nuvoco Vistas Corporation Limited — PPTs, 01-05-2025: Investor Presentation

1. Financial Highlights:

Nuvoco reported record Q4 volume of 5.7 MMT, up 8% YoY and 23% QoQ, with revenue at ₹3,042 Cr (+4% YoY, +26% QoQ). EBITDA jumped to ₹556 Cr, more than doubling QoQ and rising 12% YoY, driven by higher volumes, a ~40% premium product mix, and ~75% trade share. FY25 volumes rose 3% YoY to 19.4 MMT despite macro challenges. Cost savings from Project Bridge 2.0 and a 14% YoY fuel cost drop to ₹1.49/Mcal aided margins. Net debt fell by ₹390 Cr YoY to ₹3,640 Cr, reflecting strong deleveraging. Raw material, fuel, and distribution costs showed improvement.

2. Strategic Initiatives & Growth Drivers:

Vadraj Cement acquisition will raise capacity from 25 to 31 MTPA by Q3 FY27, expanding presence in Western and Northern India with synergies from the Chittorgarh plant. Focus on RMX and MBM growth continues, with 58 RMX plants operational and more planned. Premiumization, geographic optimization, brand strengthening, and cost efficiency remain core. The company is well positioned to benefit from a 10-17% rise in government infra and housing spends, including a 64% hike in PMAY allocation.

3. Business Developments:

NCLT approval for Vadraj acquisition is complete, with integration underway. Added two RMX plants this quarter. Launched Duraguard Microfiber Cement production in Haryana to boost northern market share. Marketing included ‘Sabse Khaas Pehelwan’ wrestling championship and Maha Kumbh 2025 presence via ‘Sarthi’ for stronger channel connect. Multiple awards secured for fastest growth, safety, quality, supply chain innovation, sustainability, and health highlight operational excellence.

4. Market Position & Competitive Advantage:

Strong presence across 22 states with plants near raw materials and markets supports competitive logistics. Leads in premium product mix and trade channel penetration. Cost competitiveness is driven by integrated plants featuring captive power and waste heat recovery, delivering some of the lowest power and fuel costs in the industry. Scale, geographic reach, innovation, and green power focus enhance positioning in mid-to-premium building materials.

5. Investor Implications:

Robust volume and margin trends signal positive growth potential backed by solid cost control and deleveraging. Vadraj acquisition plus RMX/MBM expansions provide clear capacity and market share uplift. Government infra and housing capex growth add demand visibility. Execution on capacity ramp-up, market share gains, and cost discipline amid input inflation and logistics risks should be watched. Overall, Nuvoco is well positioned for value-accretive growth with manageable financial risk.