Ramco Cements crosses ₹1000 crore in disposal of non-core assets in FY26
AI Summary
The Ramco Cements has successfully monetized ₹1000 crore in non-core assets, enhancing its balance sheet and reducing net debt, while continuing investments in capacity and efficiency. The company anticipates significant growth in its Construction Chemicals segment, aiming for ₹2000 crore in revenue over the next five years, supported by a strong brand and product portfolio. Moving forward, Ramco is focused on ramping up operations, strengthening dealer relationships, and maintaining financial momentum through cost management and margin recovery.
Chennai-headquartered The Ramco Cements has strengthened its balance sheet in FY26 by monetising around ₹1000 crore in non-core assets.
“Maintaining financial discipline remained a priority throughout the year. We systematically monetised non-core assets and crossed ₹1,000 crores in total disposals against our two-year target,” PR Venketrama Raja Managing Director, The Ramco Cements, said in his letter to shareholders, as part of the company’s annual report. “We deployed the proceeds to reduce net debt while continuing to invest in capacity and efficiency,” he added.
He noted that this helped Ramco end the year with a “less leveraged platform from which to execute our next phase of growth.”
Ramco also expects their emerging business segment of the Construction Chemicals business to clock ₹2,000 crores of revenue over the next five years. “We remain confident in this ambition, supported by the business’s growth momentum and the strong channel network, brand, and product architecture already in place,” he said.
The segment generated revenues of ₹349.4 crores under the ‘Hard Worker’ brand. “We strengthened this business through an expanding product portfolio and deeper influencer engagement supported by our technical services programme,” Raja said.
Moving into FY27, Ramco said it is focused on three key priorities. These include ramping up operations, deepening channel presence by strengthening the next generation of dealer relationships and third by sustaining financial momentum through margin recovery, costs management, and reducing net debt.
The structural demand drivers remain firmly in place, Raja said.
The CEO said energy optimisation remained a key priority during the year.
“In FY26, 40% of our energy requirements are met through green power, with all renewable energy assets fully owned by the company and its wholly owned subsidiary, ensuring energy security and sustainability without reliance on group captive or third-party ownership structures.,” he said.
Original Article
Published on Hindu BusinessLine