Ambuja Cements Q2 net profit rises 268% to Rs 1,766 crore, revenue up 25%

Ambuja Cements declared September quarter results on November 3.

Ambuja Cements on Monday reported a consolidated net profit of Rs 1,766 crore for the September quarter. The Adani Group firm had reported a net profit of Rs 480 crore in the July-September quarter a year ago, according to a regulatory filing by Ambuja Cements Ltd (ACL).

The company's consolidated revenue from operations rose 25 percent at Rs 9,129.73 crore second quarter of the current fiscal. It was Rs 7,304.77 crore in the corresponding period of the last fiscal year.

ACL's total expenses were at Rs 8,375.59 crore, up 19.16 percent annually, during Q2 of FY26. Its total income, including other income, was Rs 9,431.53 crore during the quarter.

Vinod Bahety, Whole Time Director & CEO, Ambuja Cements, said: "This quarter has been noteworthy for the cement industry. Despite the headwinds from prolonged monsoons, the sector will benefit from the tailwinds of several favourable developments including GST 2.0 reforms, the Carbon Credit Trading Scheme (CCTS), and the withdrawal of coal cess.

"Our capacity expansion is well timed to capitalize on this positive momentum. We have upped our FY28 target capacity by 15 MTPA from earlier 140 MTPA to now 155 MTPA. This increase of 15 MTPA from debottlenecking initiatives will come at a much lower capex of USD 48/MT," he added.

The company is also installing 13 blenders at its plants over a period of 12 months which will optimize mix and increase share of premium cement, the company said.

Among its strategic initiatives, the company announced Cement Intelligent Network Operations Centre (CiNOC), an AI layer deep into our enterprise fabric, transforming every plant, process, and person into part of a self-learning, high-velocity operating network.

Its revenue from cement business was at Rs 8,753.62 crore during the quarter, up 20.15 percent year-on-year. ACL's revenue from Ready Mix Concrete was at Rs 462 crore, up 56.5 percent.

Ambuja Cements, the second-largest cement manufacturer of the country, recordeds its consolidated volume of sales at 16.6 Million Tonnes (MT) during the quarter, up 20 per cent. This is the "highest ever volume in Q2 series", according to an earnings statement from ACL.

The consolidated results of Ambuja Cements include the financial performance of its step-down firm ACC Ltd in which it owns around 51 percent stake along with Sanghi Industries, Penna Industries and Orient Cements.

The consolidated financial results of ACL for the June quarter are not comparable due to the acquisition of several companies by Adani group through ACL and amalgamation of Adani Cementation.

"Accordingly, the results including the financial position for the quarter and half year ended September 30, 2025 are not comparable with quarter ended June 30, 2025, quarter and half year ended September 30, 2024 and year ended March 31, 2025 to that extent," it said.

On a standalone basis, which includes only ACL's performance, in the September quarter, its revenue from operations was up 26.17 per cent to Rs 5,139.48 crore and its PAT was up two-fold to Rs 1,387.55 crore.

"This quarter has been noteworthy for the cement industry. Despite the headwinds from prolonged monsoons, the sector will benefit from the tailwinds of several favourable developments including GST 2.0 reforms, the Carbon Credit Trading Scheme (CCTS) 2, and the withdrawal of coal cess," Ambuja Cements Whole Time Director & CEO Vinod Bahety stated.

The company's capacity expansion is well-timed to capitalise on this positive momentum, he added.

"We have upped our FY28 target capacity by 15 MTPA from earlier 140 MTPA to now 155 MTPA. This increase of 15 MTPA from debottlenecking initiatives will come at a much lower capex of USD 48/MT," Bahety said.

In addition, debottlenecking of plant logistics infrastructure will help in improving existing capacity (107 MTPA) utilisation by 3 per cent, he added.

"Our outlook for the balance period of FY26 remains positive. We remain optimistic about delivering double digit revenue growth and four digits PMT EBITDA. Exit of FY26 we target to deliver a total cost of Rs 4,000 PMT, and further 5 per cent reduction YoY for the next two years, helping us to achieve the cost target of Rs 3,650 PMT by FY28," Bahety noted.

Shares of Ambuja Cements were trading higher at Rs 574.40 per share on the NSE, up 1.6 percent.

(PTI Inputs) 

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