Ambuja Cement Q1 Results: Net profit drops 34% YoY to Rs 577 crore; revenue falls 7.5%

Adani Group company Ambuja Cement on Tuesday reported a consolidated net profit of Rs 577 crore for the first quarter of FY27, down 34% year-on-year (YoY) from Rs 869 crore in the corresponding quarter last year. The profit is attributable to the owners of the parent company.

Revenue from operations also declined 7.5% YoY to Rs 9,474 crore from Rs 10,244 crore in the year-ago quarter, the company said in a regulatory filing.

The company's EBITDA margin contracted to 16.7% in Q1 FY27 from 19.1% a year earlier. EBITDA declined 19% YoY to Rs 1,589 crore from Rs 1,962 crore in the corresponding quarter of FY26. Ambuja attributed the decline to disruptions caused by the West Asia crisis and higher raw material costs.


Ambuja Cement reported quarterly sales volume of 17.1 million tonnes (MnT), while its trade share increased by 4 percentage points year-on-year to 78%. The share of premium products also rose by 1 percentage point YoY to 34%.

The company's clinker factor improved by 2.1 percentage points YoY to 63.7%. Ambuja Cement achieved a sequential cost reduction of Rs 206 per tonne through focused cost optimisation initiatives, despite headwinds arising from geopolitical tensions in West Asia.

The company's renewable energy capacity increased by 75 MW to 973 MW, taking the share of green power in its energy mix to 34%. Ambuja Cement also remained debt-free and continued to maintain the highest credit ratings.

Ambuja Cement expects weak Q2
The management said given the 60-90 day fuel inventory cycle, the impact of peak fuel cost inflation is expected to coincide with the seasonally weaker Q2, potentially impacting industry profitability in the near term.

It added that the industry witnessed cost pressures during Q1 from higher prices of imported fuels such as petcoke and thermal coal, along with elevated freight and logistics costs resulting from geopolitical developments in West Asia.

Cement industry outlook
Ambuja suggests that cement demand is expected to remain soft at 5% for FY27. While near-term cement demand may be impacted by seasonal monsoon softness, geopolitical uncertainties, and input cost volatility, the sector’s long-term outlook remains constructive, supported by sustained infrastructure investments, urbanisation, and housing demand.

Ambuja Cement remains well positioned to outperform industry growth. The Company will continue to leverage its strong brand portfolio, expanding ready-mix concrete footprint, premiumisation strategy, operational excellence and cost leadership initiatives.

At about 2:40 pm, Ambuja Cement shares edged 1% lower at Rs 427 on the BSE.