Earnings Review
Ambuja Cements' PAT rises on-year but misses Street view
This story was originally published at 15:13 IST on 31 July 2025
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--Ambuja Cements Apr-Jun consol net profit INR 7.88 bln
--Analysts saw Ambuja Cements Apr-Jun consol net profit at INR 8.95 bln
--Ambuja Cements Apr-Jun consol net profit INR 7.88 bln vs INR 6.40 bln
--Ambuja Cements Apr-Jun consol revenue INR 102.44 bln vs INR 82.92 bln
--Ambuja Cements Apr-Jun consol other income INR 2.56 bln vs INR 3.55 bln
--Ambuja Cements Q1 consol operating EBITDA INR 19.61 bln vs INR 12.80 bln
--Ambuja Cements Apr-Jun consol operating EBITDA margin 19.1% vs 15.3% yr ago
--Ambuja Cements Apr-Jun consol volume at 18.4 mln tn vs 15.3 mln tn yr ago
--Ambuja Cements Q1 consol operating EBITDA/tn INR 1,069 vs INR 835 yr ago
--Ambuja Cements: Market share up 2 percentage point to 15.5%
--Ambuja Cements: Demand in Apr-Jun driven by government's flagship programs
--Ambuja Cements: Sector's growth outlook for Q2 continues to be positive
--Ambuja Cements: See cement demand to rise 7-8% in FY26
By Ashutosh Pati
MUMBAI – Ambuja Cements Ltd. reported an on-year rise in both the top line and bottom line in the June quarter due to a sharp rise in the sales volumes. The country's second-largest cement manufacturer however missed Street's estimates on net profit but beat analysts' expectations for revenue.
The cement maker's consolidated net profit rose over 23% on year to INR 7.88 billion in the June quarter, lower than analysts' expectation of INR 8.95 billion. The rise in net profit came after it had declined in the trailing quarter. The company's net profit has risen on year in every alternate June quarter since the first quarter of 2017-18 (Apr-Mar), data available with Informist showed.
Amubja Cements' revenue from operations also rose over 23% on year to INR 102.44 billion, higher than analysts' expectation of INR 97.18 billion. This is the third consecutive quarter that company posted a rise in revenue. It reported its highest ever quarterly sales of 18.4 million tonnes in the June quarter, up more than 20% on year.
The consolidated operating earnings before interest, tax, depreciation, and amortisation, or EBITDA of Ambuja Cements rose 53% on year to INR 19.61 billion in the June quarter. Its operating EBITDA margin rose to 19.1% from 15.3% in the year-ago period. The cement maker's consolidated EBITDA per tonne in the June quarter rose to INR 1,069 from INR 835 in the year-ago quarter.
The company's other income in the June quarter fell nearly 28% on year to INR 2.56 billion. Ambuja Cements' total expenses rose around 21% on year to INR 92.57 billion in the reporting quarter. Its cost of materials consumed rose 8% on year to INR 15.36 billion while power and fuel costs rose nearly 16% on year to INR 25.13 billion. Ambuja Cements' market share rose 2 percentage points to 15.5% during the reporting quarter.
The company's consolidated revenue from the cement segment rose around 23% on year to INR 99.12 billion in the June quarter. The demand for cement rose 4% during the June quarter, largely driven by the government's ongoing flagship programmes such as Pradhan Mantri Awas Yojana, Bharatmala, Sagarmala and other cement intensive projects. The cement sector's growth outlook remains positive for Jul-Sept, the company said. For FY26, cement demand is expected to grow in the range of 7-8%, it said.
The company commissioned 57-megawatt wind power capacity during the June quarter, taking its renewable energy capacity to 473 megawatts.
Ambuja Cements declared its June quarter results during market hours. At 1500 IST, shares of the company were 3.5% lower at INR 596.10 on the National Stock Exchange of India. End
IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT
Edited by Tanima Banerjee
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