HeidelbergCement India Limited — PPTs, 29-05-2025: Investor Presentation

1. Financial Highlights:

FY25 revenue declined 9.2% yoy to ₹21,489 million, with EBITDA down 24.4% to ₹2,394 million and margins narrowing from 13.4% to 11.1%. Profit after tax dropped 36.4% to ₹1,068 million. Quarterly revenue rose 2.7%, while EBITDA remained flat at ₹906 million. EBITDA per tonne fell 19.5% to ₹530 due to lower prices despite cost controls. Sales volume declined 6.1% to 4.52 million tonnes. The company operates with negative net working capital; cash and bank balances of ₹4,536 million well exceed borrowings of ₹649 million, reflecting strong liquidity.

2. Strategic Initiatives & Growth Drivers:

Alternate fuel usage increased to 8%, with green power capacity expanded via signed PPAs for 5.5 MW of wind-solar hybrid projects. Non-grid power now contributes 45%, advancing sustainability goals. Blended cement continues as the core product at 98% of mix. Operational efficiencies and ESG measures remain key to cost and carbon footprint reduction.

3. Business Developments:

No major acquisitions or partnerships. Focus is on operational improvements and scaling renewable energy across plants. Key sites like Ammasandra (>90% green power) and Narsingarh (waste heat recovery and solar hybrid) demonstrate high green power utilization.

4. Market Position & Competitive Advantage:

The company sustains leadership through a premium product portfolio and balanced geographic presence. Scale and integration in blended cement, combined with a strong ESG focus and growing green power share, enhance market differentiation.

5. Investor Implications:

Strong cash flow and net cash position support consistent dividends. Margin pressure from pricing and input costs poses challenges, but sustainability efforts and premium product focus offer positive growth potential. Investors should watch margin recovery and volume trends amid signs of demand improvement.