HeidelbergCement India (500292) Q4 24/25 earnings summary

Executive summary

• Focus on blended cement and environmental sustainability, with 98% of production as blended cement and increased use of alternative fuels at 8%; non-grid power share rose to 45% with new wind-solar hybrid PPAs.

• Dividend of INR 7 per share recommended for FY25, continuing a consistent payout policy (70%-90% of earnings), subject to shareholder approval.

• Audited financial results for FY25 were approved with an unmodified audit opinion, confirming compliance with Indian Accounting Standards and SEBI regulations.

• Key board changes include re-appointment of Mr. Vimal Kumar Jain as Whole-Time Director, appointment of Mr. Vimal Kumar Choudhary as Non-Executive Director, and resignation of Ms. Soek Peng Sim.

Financial highlights

• FY25 revenue was INR 21,489 million, down 9.2% year-over-year; EBITDA fell 24.4% to INR 2,394 million, with EBITDA per ton at INR 530, down 20% year-over-year.

• Q4 FY25 revenue rose 2.7% year-over-year to INR 6,125 million; Q4 EBITDA increased 2% to INR 906 million.

• Q4 FY25 PAT rose to INR 504 million, a 4.7% year-over-year increase; full-year PAT was INR 1,068 million, down 36.4% year-over-year.

• Sales volume for FY25 declined 6.1% to 4,515 KT; Q4 sales volumes up 1.9% year-over-year.

• Net cash position of INR 3,849 million as of March 31, 2025, with cash and bank balances exceeding borrowings.

Outlook and guidance

• Targeting 6%-7% sales volume growth for FY26, in line with GDP and cement sector growth; additional 200,000 tons of cement capacity expected post clinker debottlenecking by June.

• Green power share expected to rise by 2%-3% in FY26 due to new PPAs.

• Premium product share targeted to increase from 43% to 47%.

• Indian cement demand is expected to improve, supported by GDP growth forecasts of 6.3%-6.8% and strong domestic demand, especially in housing and infrastructure.

• Focus on cost optimization through alternate fuels and power sourcing; fuel prices per gigajoule reduced by 6% year-over-year.