Transcript of Earnings Call

SH/ 27.10.2026 BSE Limited National Stock Exchange of India Limited Corporate Relationship Dept. Exchange Plaza, 5th Floor, First Floor, New Trading Ring Plot No. C/1, G Block Rotunda Building Bandra-Kurla Complex Phiroze Jeejeebhoy Towers Bandra (E) Dalal Street, Fort MUMBAI 400 051. MUMBAI 400 001. Scrip Code : 530005 Scrip Code : INDIACEM Dear Sirs, Sub.: Disclosure under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 - Transcript of Earnings Call In continuation to our letter dated 19th October 2026, please find enclosed the transcript of the Earnings Call held on 19th October 2026 on the unaudited financial results for the quarter and half-year ended 30th September 2026. The same is available on the website of the Company i.e. www.indiacements.co.in. Thanking you, Yours faithfully, for THE INDIA CEMENTS LIMITED COMPANY SECRETARY Encl.: As above E: investor.indiacements@adityabirla.com 27th October, 2026 BSE Limited The National Stock Exchange of India Limited Corporate Relationship Department Listing Department Scrip Code: 532538 Scrip Code: ULTRACEMCO Sub: Transcript of Q2 FY27 Earnings Call of UltraTech Cement Limited (“the Company”) Dear Sirs, In terms of Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached transcript of the Q2 FY27 Earnings Call conducted after the meeting of the Board of Directors of the Company held on 19th October, 2026, for your information and record. The same is also available on the website of the Company viz. www.ultratechcement.com. Yours faithfully, For UltraTech Cement Limited Dhiraj Kapoor Company Secretary and Compliance Officer Encl: a/a Luxembourg Stock Exchange Singapore Exchange BP 165 / L – 2011 Luxembourg 2 Shenton Way, #02-02, Scrip Code: SGX Centre 1, Singapore 068804 US90403E1038 and US90403E2028 ISIN Code: US90403YAA73 and USY9048BAA18 UltraTech Cement Limited Registered Office : Ahura Centre, B – Wing, 2nd Floor, Mahakali Caves Road, Andheri (East), Mumbai 400 093, India T: +91 22 6691 7800 / 2926 7800 I F: +91 22 6692 8109 I W: www.ultratechcement.com/www.adityabirla.com I CIN : L26940MH2000PLC128420 “UltraTech Cement Limited Q2 FY27 Earnings Conference Call” October 19, 2026 MANAGEMENT: MR. KAILASH C. JHANWAR – MANAGING DIRECTOR MR. ATUL DAGA – CHIEF FINANCIAL OFFICER Page 1 of 16 UltraTech Cement Limited October 19, 2026 Moderator: Ladies and gentlemen, good day, and welcome to Q2 FY27 Earnings Conference Call of UltraTech Cement Limited. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. I now hand the conference over to Mr. Atul Daga, Chief Financial Officer of UltraTech Cement Limited. Thank you, and over to you, sir. Atul Daga: Hi. Good afternoon, good evening, everybody. Ladies and gentlemen, thank you for joining our second quarter '27 earnings call. The September quarter is always the one where monsoon writes part of the script. This year, it brought a different twist, a weak monsoon that kept construction going alongside a West Asia conflict that flared up again and pushed fuel costs higher. Time and again, we keep hearing chatter about cement prices, which is on everybody's mind, and that's where I want to start first. In a normal year, cement prices slip during July and August as rains slows sites and dealers chase volumes. This year, the industry largely avoided that. Pan- India, average trade prices for Q2 were stable in line with Q1, with the quarterly average 1%, 1.5% lower, mainly because of a soft August. In the second half of September, prices turned firmly upwards. Trade prices must have risen 7 to 10 per bag month-on-month and non-trade prices even higher. We exited September in trade at least about 3% above the Q1 average. The quarterly average is weighed down by a soft August. The run rate we take into Q3 is materially better. One more thing I want to clarify here for ourselves, UltraTech. We take a view on price changes with demand and macroeconomic trends. It's not a rocket science. If demand overshoots supply, it leads to price improvements. If there is a structural change in cost for the industry, ultimately, the end customers will have to bear the cost. Given the spread of the industry in the country, prices rise always with a lag to catch up on costs. This is nothing new. This is an age- old phenomenon. As for UltraTech, despite increase in cost, the company has achieved an improvement in operating performance, higher capacity utilization on a higher base, higher or stable realizations, improvement in efficiency and a 21% increase in net profit. Prices for your benefit have risen substantially in the month of October and continue to stay high. My sense is that there is more price improvement that will happen in the near future, in the next couple of months, that is to say. If you were to split the realizations by zone for the quarter, West, the prices were steady through July and August, stepped up in September with Mumbai being the biggest market moving strongly up by 3% to 4% per bag for both bag and bulk. Rest of Maharashtra, small dip in August was followed by a big increase in September. Eastern markets, rains disruption pushed prices down during August, but we have seen prices playing a catch-up across most of the states in the Eastern corridor since early October. South have been the strongest momentum in prices, volume and capacity utilization. South markets are transforming. Mark my words. You might remember something which I had spoken to you a few quarters ago about the Southern markets. North held Page 2 of 16 UltraTech Cement Limited October 19, 2026 steady, new prices have been absorbed, while Central has played a muted game. Into October, we are seeing continuous increase in prices. The festive weeks may slow down and how quickly these prices are absorbed, so we expect the full benefit of these price increases to reflect in the Q3 earnings rather than immediately. So that’s about prices. Three points stand out. Realizations in the previous quarter were essentially stable. So, prices were not the cause of any decline in performance. Fuel costs and raw material costs rose about 13% and 3% quarter-on-quarter. Fuel costs have risen from INR45 a bag to INR51.5 per bag. That is the contribution of fuel cost Y-o-Y as the fuel rates climbed to about INR2.09 per kcal. This is the West Asia crisis effect, which we can discuss separately. Third, other fixed costs per ton were 6% lower for us than the last year, even after absorbing new capacity because absolute fixed costs grew only 4%, well below the volume growth of 13.8%. This is the operating leverage working for UltraTech as intended. September month has given a glimpse of what comes next, that is an internal number. But as volumes remain strong, price increases have been coming through, when we look month-to-month performance, September was higher than the Q2 average. Let me get to the next element of our industry, which is demand. Industry estimates put cement demand to grow closer to 10% year-on-year. Our growth of 13.8% this quarter is comfortably ahead, which means that our presence in the market is continuously increasing. North markets grew in high double digits. We have grown more than 20% in the Northern markets, in the range of 15% to 20% in the Southern markets, East around 5%, West around closer to 10% as well as 10% in the Central markets. Our capacity utilization was 71%, better than 66% last year on a higher base. We could have grown more. We could have sold more cement if additional capacity was available. And that's why we are excited about our next phase of growth. which is around the corner. Capacity utilization [Showing first 8,000 characters — download PDF for full document]