JSW Cement (JSWCEMEN IN) – Q2FY27 Result Update – Nagaur ramp up drives volume growth – BUY
Published on 28 Oct 2026
JSW Cement (JSWCEMEN) delivered inline Q2FY27 operating performance, aided by robust cement volume growth and improving GGBS volumes. Total volumes grew 26% YoY, with cement volumes up 40% and GGBS volumes up 7%, supported by the ramp-up of Nagaur, which achieved 70% capacity utilisation in Q2FY27. Blended NSR declined 2.2% QoQ, largely due to lower cement realisations amid a change in regional mix (sold more in East). Costs remained elevated due to higher fuel, lead distance and diesel costs, alongside initial ramp-up costs at Nagaur, keeping EBITDA/t at INR707 (vs. PLe of INR701). Ex-Nagaur EBITDA/t stood at INR821, highlighting the drag from the new plant. Nagaur achieved EBITDA breakeven in Q2FY27, with EBITDA/t expected to reach INR650-700 by Q4FY27. As per Mgmt., October non-trade price hikes stood at INR15-20/bag in South, INR25-30/bag in East, INR10/bag in West and INR20/bag in North. Trade hikes of INR10-15/bag have been implemented in East. The stock is trading at EV of 12.3x/10.8x FY28/29E EBITDA. Maintain ‘BUY’ with revised TP of INR133 (earlier INR132) valuing at 13x EV of Sep’28E EBITDA.
