Bengaluru, July 10 -- India's cement sector is on track to bounce back to its 10-year average profitability levels by FY26, thanks to rising demand and improved price realisations, according to a Crisil Ratings report. Following a subdued performance in FY25, the industry is expected to find renewed momentum, supported by growth in rural housing and tighter control over input costs, both of which are likely to drive margin recovery and improve overall financial health.

Leading cement companies are expected to deliver robust double-digit growth in both revenue and profit, as a combination of higher cement prices and increased sales volumes lifts performance. A wave of inorganic capacity additions is also projected to support about 10 perc...