Andhra Cements Limited (ACL) share price
₹42.70 on NSE as of 2026-09-11. +0.05% on the day. market cap ₹394 Cr. 52-week range ₹40.79 to ₹104.76. Construction Materials.
What the company does
ACL on 16 February 2023. The resolution process was completed in March 2023. ACL was not operational during FY20-FY23, but commenced operations in 1 QFY24. It has a cement grinding capacity of 2.25mnt. Incorporated in 1981, SCL has a consolidated cement manufacturing capacity of 10.5mnt and clinker capacity of 6.6mnt (post ACL acquisition). SCL has a strong presence in southern India, with recent expansions in central and eastern India and six active manufacturing facilities.
Filed by India Ratings, page 4.
Andhra Cements Q1 FY27: Revenue Up 42.8%, and a ₹35.93 Cr Loss Below It
At a glance
Andhra Cements reported revenue from operations of ₹142.17 crore for the quarter ended 30 June 2026, against ₹99.53 crore in the same quarter a year earlier — a rise of 42.8%. Against the preceding March quarter's ₹154.85 crore, revenue was lower by about 8%.
Operating profit for the quarter was ₹3.74 crore, against ₹6.64 crore in the June 2025 quarter and ₹8.83 crore in March 2026. Below the operating line sit two items that dominate the statement: finance costs of ₹31.94 crore and depreciation of ₹20.76 crore. Loss before tax was ₹47.77 crore. A deferred tax credit of ₹11.84 crore brought the net loss to ₹35.93 crore, with basic EPS of ₹(3.90). The statutory auditors, B S R and Co, issued an unmodified conclusion on the limited review.
Two structural items sit alongside the quarter. On 5 June 2026 the board approved a scheme of amalgamation under which the company merges into its parent, Sagar Cements Limited, with an appointed date of 1 April 2026 and a share swap of 29:98, subject to stock exchange, SEBI, shareholder, creditor and NCLT approvals. And during FY26, Sagar Cements sold shares through the exchange mechanism in two tranches, taking its holding from 90% to 75% to meet minimum public shareholding.
For FY26 as a whole, the company posted revenue of ₹442.49 crore and a net loss of ₹67.16 crore, against a ₹152.11 crore loss in FY25. Borrowings at March 2026 stood at ₹1,127.07 crore. There is a reason the balance sheet deserves its own section later, and it isn't the asset side.
Introduction
Andhra Cements was incorporated in 1936, which makes it older than the Republic it operates in and considerably older than most of the shareholders currently holding it. Its history reads like a relay race in which every runner eventually dropped the baton: the Bennett Coleman Group handed to the Duncan Goenka Group in 1994, which handed to the Jaypee Group in 2012, which handed the whole thing to the insolvency courts.
Cement manufacturing stayed shut from February 2020 to March 2023 amid financial and operational stress. The company went through CIRP. In February 2023 the NCLT approved the resolution plan of Sagar Cements Limited, which infused ₹322 crore and took control. Operations at Sri Durga Cement Works in Dachepalli, Guntur district resumed in April 2023. The Visaka Cement Works plant has stayed non-operational, its location inside city limits and the logistics that follow from that being the stated reason.
What has happened since is a company rebuilding at speed on borrowed money. In January 2024 the board approved a ₹471 crore modernisation and expansion at Dachepalli: clinker capacity from 1.65 MTPA to 2.30 MTPA, cement grinding from 1.82 MTPA to 3.0 MTPA. The new six-stage preheater was commissioned on 23 October 2025. The new cement mill is expected during FY27. A ₹180 crore rights issue approved in March 2024 received its regulatory clearances and was then simply not done; the company cited prevailing capital market conditions, and the approval sat valid until December 2025 before lapsing quietly.
The minimum public shareholding requirement was eventually met the other way — the parent selling down rather than the company issuing up. And then, in March and June 2026, the board decided the cleanest structure was no separate structure at all: merge into Sagar. A company that spent 87 years acquiring its own identity is now in the paperwork stage of giving it back.
Business model
They make cement. Grey powder, bags, trucks, done. The complication is not what they make but the arithmetic of getting it to anyone.
The company operates Sri Durga Cement Works at Dachepalli in Palnadu district, Andhra Pradesh, with cement grinding capacity of 2.25 MTPA per India Ratings' June 2026 assessment, sitting on the parent group's consolidated limestone reserves of over 1,000 million tonnes. Limestone reserves at the company were recorded at 200 mnt. The second plant, Visakha Cement Works, exists on the letterhead and in the address block of every filing, and does nothing else.
The products go out under the Sagar Cement brand — not Andhra's own name, which tells its own story about who is driving. Around 70% of sales come from Andhra Pradesh and Telangana; the balance goes to Tamil Nadu and Karnataka. Distribution runs through roughly 770 authorised stockists, supplemented by direct sales to government and large infrastructure projects. Procurement of raw materials is centralised with the parent, and the marketing network is the parent's.
So the honest description of the business model is: a plant. One working plant, plugged into somebody else's brand, somebody else's dealers, somebody else's buying desk, and increasingly somebody else's balance sheet. India Ratings notes the company accounted for nearly half of Sagar's consolidated debt at end-March 2026, and that Sagar had extended inter-corporate deposits and advances totalling INR2.6 billion to it by then, up from INR0.95 billion a year earlier.
The economics of cement are unforgiving in a way that flatters nobody. Power and fuel cost ₹49.14 crore in the June quarter — over a third of revenue, before anything moves. Freight and forwarding took another ₹33.55 crore. Cost of materials consumed was ₹17.74 crore. Read that ordering again: the raw material is the cheapest major input, and the expensive part is heating it and hauling it. Cement companies are, functionally, logistics businesses with a kiln attached, and the kiln is the part that eats coal.
Employee benefits expense for the quarter: ₹4.26 crore. Finance costs: ₹31.94 crore. The lenders are paid roughly seven and a half times what the staff are.
Quarterly results, balance sheet, cash flow, ratios, shareholding and the filings themselves are on the full page for Andhra Cements Limited.
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