UltraTech Cement's Q2FY25 earnings exceeded expectations, with revenue in line with forecasts. The company reported a revenue of INR 156,347 million, representing a 2.4% YoY decline and a 13.5% QoQ drop.

EBITDA decreased to INR 20,183 million, down 20.9% YoY and 33.6% sequentially, resulting in an EBITDA margin of 12.9%. Profit After Tax (PAT) also saw a significant decline, standing at INR 8,200 million, down 36.0% YoY and 51.7% QoQ, leading to a PAT margin of 5.2%.

Analysts have applied an EV/EBITDA multiple of 20.5x to the FY26E EBITDA of INR 175,623 million, reflecting confidence in UltraTech's expansion plans. The company's market position is expected to be strengthened by the anticipated capacity additions from the approval of stakes in Kesoram and India Cement. KR Choksey maintains an "ACCUMULATE" rating on UltraTech Cement, setting a target price of INR 12,063, citing the company's potential for superior growth in both volume and earnings.