AMBUJACEM

Ambuja Cements Ltd reported a decline in consolidated profit after tax for the fourth quarter of the fiscal year, with normalised PAT at ₹569 crore, down from ₹856 crore in the same period last year. Despite the drop in profitability, revenue rose to a record ₹10,915 crore, marking a 9% year-on-year increase from ₹9,981 crore, driven by a 10% rise in sales volumes to 19.9 million tonnes. EBITDA fell to ₹1,464 crore from ₹1,868 crore a year ago, while EBITDA margins contracted significantly to 13.4% from 18.7% in the corresponding quarter. Company attributed the margin pressure to higher fuel and diesel costs, packaging constraints, and the impact of rupee depreciation amid ongoing tensions in West Asia. It expects these challenges to persist into the first half of FY27. To counter rising costs, the company is focusing on measures such as optimising its fuel mix, increasing the use of renewable energy, and improving logistics efficiency. On the operational front, Ambuja recorded its highest-ever quarterly sales volume and revenue, while maintaining a debt-free balance sheet. It also made progress in integration and expansion initiatives, including the amalgamation of Sanghi and Penna Cement. The company expects cement demand growth to remain moderate at around 5% in FY27, citing geopolitical uncertainties and early forecasts of a below-normal monsoon.