Ambuja Cements shares slip after Q1 profit falls 34% YoY to Rs 577 crore; revenue declines 8%
Ambuja Cements reported a consolidated net profit of Rs 577 crore for the first quarter of FY27, down 33.60 per cent year-on-year (YoY) from Rs 869 crore in the corresponding quarter last year. The profit is attributable to the owners of the parent company.
- Jul 28, 2026,
- Updated Jul 28, 2026 3:11 PM IST
Shares of Ambuja Cements Ltd traded lower in Tuesday's trade after the Adani Group company reported a decline in its consolidated net profit and revenue for the June quarter.
The stock was last seen trading 0.96 per cent lower at Rs 426.50 following the earnings announcement.
Ambuja Cements reported a consolidated net profit of Rs 577 crore for the first quarter of FY27, down 33.60 per cent year-on-year (YoY) from Rs 869 crore in the corresponding quarter last year. The profit is attributable to the owners of the parent company.
Revenue from operations also declined 7.52 per cent YoY to Rs 9,474 crore from Rs 10,244 crore in the year-ago period, the company said in a regulatory filing.
On the operational front, quarterly sales volume stood at 17.1 million tonnes (MnT). Trade share increased by 4 percentage points YoY to 78 per cent, while the share of premium products rose by 1 percentage point YoY to 34 per cent.
Operating EBITDA came in at Rs 1,589 crore, with margins expanding 3.3 percentage points quarter-on-quarter (QoQ) to 16.7 per cent.
The company said its clinker factor improved by 2.1 percentage points YoY to 63.7 per cent. It also achieved a sequential cost reduction of Rs 206 PMT through focused cost optimisation initiatives despite headwinds from West Asia geopolitical tensions.
Ambuja Cements said its renewable energy capacity increased by 75 MW to 973 MW, while the green power share rose to 34 per cent. The company also said it continues to remain debt-free with the highest credit ratings.
Vinod Bahety, Whole Time Director and CEO at Ambuja Cements, said, "We have started FY'27 with strong momentum, driven by our focus on value-led growth, premiumisation and disciplined execution. Higher trade sales and an increased share of premium products strengthened our market mix, resulting in improved profitability and quality of earnings."
Bahety added, "Despite temporary cost headwinds arising from the West Asia geopolitical tensions, we delivered a sequential cost reduction of Rs. 206 PMT through operational excellence, improved energy efficiency, a lower clinker factor and disciplined cost management. This resulted in a 331 bps QoQ expansion in EBITDA margin to 16.7%."
He further stated, "Looking ahead, we are confident on continuing our momentum and improve our cost structure further. We are well on track to increase our capacity to 119 MTPA by the end of FY'27, with the commissioning of Dahej (1.2 MTPA), Salai Banwa (2.4 MTPA), Bathinda (1.2 MTPA) Jodhpur (2 MTPA), Kalamboli (1 MTPA) and Warisaliganj (2.4 MTPA). We are firmly on course to deliver cost reduction of approximately Rs 250 PMT to achieve targeted cost of Rs 4,250 PMT by end of FY'27."
Shares of Ambuja Cements Ltd traded lower in Tuesday's trade after the Adani Group company reported a decline in its consolidated net profit and revenue for the June quarter.
The stock was last seen trading 0.96 per cent lower at Rs 426.50 following the earnings announcement.
Ambuja Cements reported a consolidated net profit of Rs 577 crore for the first quarter of FY27, down 33.60 per cent year-on-year (YoY) from Rs 869 crore in the corresponding quarter last year. The profit is attributable to the owners of the parent company.
Revenue from operations also declined 7.52 per cent YoY to Rs 9,474 crore from Rs 10,244 crore in the year-ago period, the company said in a regulatory filing.
On the operational front, quarterly sales volume stood at 17.1 million tonnes (MnT). Trade share increased by 4 percentage points YoY to 78 per cent, while the share of premium products rose by 1 percentage point YoY to 34 per cent.
Operating EBITDA came in at Rs 1,589 crore, with margins expanding 3.3 percentage points quarter-on-quarter (QoQ) to 16.7 per cent.
The company said its clinker factor improved by 2.1 percentage points YoY to 63.7 per cent. It also achieved a sequential cost reduction of Rs 206 PMT through focused cost optimisation initiatives despite headwinds from West Asia geopolitical tensions.
Ambuja Cements said its renewable energy capacity increased by 75 MW to 973 MW, while the green power share rose to 34 per cent. The company also said it continues to remain debt-free with the highest credit ratings.
Vinod Bahety, Whole Time Director and CEO at Ambuja Cements, said, "We have started FY'27 with strong momentum, driven by our focus on value-led growth, premiumisation and disciplined execution. Higher trade sales and an increased share of premium products strengthened our market mix, resulting in improved profitability and quality of earnings."
Bahety added, "Despite temporary cost headwinds arising from the West Asia geopolitical tensions, we delivered a sequential cost reduction of Rs. 206 PMT through operational excellence, improved energy efficiency, a lower clinker factor and disciplined cost management. This resulted in a 331 bps QoQ expansion in EBITDA margin to 16.7%."
He further stated, "Looking ahead, we are confident on continuing our momentum and improve our cost structure further. We are well on track to increase our capacity to 119 MTPA by the end of FY'27, with the commissioning of Dahej (1.2 MTPA), Salai Banwa (2.4 MTPA), Bathinda (1.2 MTPA) Jodhpur (2 MTPA), Kalamboli (1 MTPA) and Warisaliganj (2.4 MTPA). We are firmly on course to deliver cost reduction of approximately Rs 250 PMT to achieve targeted cost of Rs 4,250 PMT by end of FY'27."