AMBUJA CEMENTS LTD

Ambuja Cements Limited reported its financial results for Q1 FY27, highlighting a disciplined performance amid a challenging operating environment. Management noted stable cement demand driven by infrastructure and housing activities, although profitability faced pressure from high fuel prices and freight costs. The company achieved stronger profitability and improved operating efficiency, with a focus on value creation over volume. Trade sales increased to 78% of overall sales, with premium products comprising 34% of trade sales. The company reported a revenue of INR 9,500 crores and an operating EBITDA of INR 1,589 crores, with an EBITDA margin improvement of 331 basis points to 16.7%. Management emphasized ongoing strategic initiatives aimed at cost leadership and operational excellence, while also addressing the impact of geopolitical tensions on costs. The company maintained a guidance for a total cost of INR 4,250 per ton for FY27, supported by various efficiency initiatives.

Management highlighted both achievements in profitability and challenges from external cost pressures.