Adani Group / Ambuja Cements Posts Rs9,197 Crore Q2 Revenue, Expands Capacity by 4.6 MTPA

Ahmedabad, Oct 29: Ambuja Cements Ltd., the Adani Group's cement and building materials company, reported revenue from operations of Rs9,197 crore for the quarter ended September 30, 2026, driven by healthy sales volumes, a stronger trade mix and continued capacity expansion despite industry cost pressures.

The company posted an operating EBITDA of Rs1,271 crore, with an EBITDA margin of 13.8 per cent, according to its stock exchange filing released on Thursday.

Ambuja recorded sales volumes of 16.5 million tonnes during the quarter, supported by sustained growth in its trade business. Trade volumes grew 8.6 per cent year-on-year, while the share of trade sales rose by six percentage points to 74 per cent.

The company's focus on premium offerings also continued to strengthen, with premium products accounting for 37 per cent of trade sales, up two percentage points from the corresponding period last year.

Its EBITDA per tonne stood at Rs770 during the quarter.

Capacity Expansion

Ambuja Cements commissioned 4.6 million tonnes per annum (MTPA) of additional cement capacity during the quarter across projects at Dahej, Salai Banwa and Kalamboli.

The company said another 3.2 MTPA capacity at Bathinda and Jodhpur Penna is currently being stabilised and ramped up, while a further 2.4 MTPA capacity at Warisaliganj is scheduled for commissioning in the second half of FY27.

Management Commentary

Commenting on the performance, Vinod Bahety, Whole-time Director and CEO, said the results reflected the company's emphasis on quality-led growth despite seasonal challenges and external headwinds.

"Our Q2 and H1 FY'27 performance underscores Ambuja's focus on quality growth despite seasonal and external headwinds. Strengthening trade and premium product mix improved revenue quality, while disciplined execution and cost management supported profitability," Bahety said.

Cost Pressures Persist

The company reported a total cost of Rs4,410 per tonne during the quarter. Excluding the impact of geopolitical disruptions, the cost stood at Rs4,182 per tonne.

Higher petcoke and coal prices, elevated diesel costs and increased packaging expenses continued to weigh on margins across the industry.

However, logistics costs were partly offset by a reduction in primary lead distance to 254 km, compared with 265 km a year ago.
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Strong Balance Sheet

Ambuja maintained a debt-free balance sheet with a net worth of Rs72,238 crore and cash and cash equivalents of Rs1,070 crore.

The company also retained the highest AAA/A1+ credit ratings from agencies including CRISIL, CARE Ratings, India Ratings and ICRA.
(With inputs from IANS)