Ambuja Cements Q2 net profit jumps 9-fold to Rs 793 crore

Its revenue from operations stood at Rs 7,423.95 crore, up 4.10 percent from Rs 7,131.39 crore in the corresponding quarter last fiscal, the Adani Group company said in an exchange filing.

Driven by higher other income and lower expenses, Ambuja Cements reported its consolidated net profit at Rs 792.96 crore, registering a growth of 750.99 percent – nearly nine fold – compared to Rs 93.18 crore in the same quarter last year.

Its revenue from operations stood at Rs 7,423.95 crore, up 4.10 percent from Rs 7,131.39 crore in the corresponding quarter last fiscal, the Adani Group company said in an exchange filing.

The company said its EBITDA stood at Rs 1,302 crore (up by Rs 975 Cr), driven by “operational excellence and cost saving projects”. EBITDA margin expanded by 12.9 percentage points from 4.6 percent to 17.5 percent.

“Along with strong demand for our premium cement products, our business performance improved due to operational excellence, supply chain management and sales & marketing excellence, adjacency benefits with Group companies are lowering input costs which is boosting EBITDA & margin growth,” said Ajay Kapur, Whole Time Director & CEO, Ambuja Cements.

The company management said operational efficiencies helped in reduction in Kiln fuel cost from Rs 2.72 per 1000 kCal to Rs 1.79 per 1000 kCal and CPP (Clean Petroleum Products) fuel cost from Rs 2.27 per 1000 kCal to Rs 1.65 per 1000 kCal. Logistics efficiencies has resulted in Direct dispatch up from 48 percent to 58 percent, they said.

Updating about new projects, Kapur said, for the new facility of 4 MTPA at Bhatapara apart from equipment that has been ordered, civil execution work has started. The company expects completion by Q2FY26. For its corresponding grinding unit at Sankrail and Farakka order has been placed on EPC vendor and piling work has also started. Expected completion dates for these units are by Q3FY25.

For the new facility of 4 MTPA at Maratha, letter of intent (LOI) has been placed on EPC vendor, Site development and pre-project work has also been started. Expected completion date is Q4FY26.