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AMBUJACEM
Financial Performance
Ambuja Cements has begun the current fiscal year with a strong performance. For the quarter ending June 2025, the company reported its highest-ever quarterly sales volume of 18.4 million tonnes, a 20% increase year-on-year. Revenue from operations crossed the ₹10,000 crore mark, growing by 23%. Net profit for the quarter was ₹969.6 crore, a 24% rise from the same period last year, driven by strong volumes and a focus on premium products.
Capacity Expansion and Acquisitions
The company is aggressively pursuing its goal of reaching 140 MTPA capacity by fiscal year 2028. As part of this strategy, Ambuja Cements has successfully completed the acquisition of a 37.8% promoter's stake in Orient Cement, becoming its new promoter. This move, along with previous acquisitions of Penna Cement and Sanghi Industries, has boosted the company's consolidated capacity. Ambuja's current capacity stands at over 100 MTPA, with future expansions planned through various brownfield projects.
Strategic Initiatives
Ambuja Cements is focusing on improving operational efficiency and profitability through cost-saving measures and an emphasis on green energy. The company has reduced its kiln fuel cost and increased the use of its Waste Heat Recovery System (WHRS). These initiatives are part of a broader plan to lower the cost of power and improve long-term profitability. The company is also working on a long-term logistics cost reduction plan, leveraging seaborne transport and other methods to optimize its supply chain.#StockInNews#WatchOutFor#FundamentalViews#EquityResearch#PersonalFinance
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