Ambuja Cements Ltd — earnings calls

Ambuja Cements reported Q1 FY27 revenue of Rs 9,500 crore, operating EBITDA of Rs 1,589 crore, and EBITDA margin improving 331 basis points to 16.7%, while net operating cost fell to Rs 4,241 per metric ton. Trade volumes declined 2% year-on-year and non-trade volumes fell 21%, which management attributed to a deliberate shift toward higher-margin trade sales and reduced lower-margin non-trade volumes. Management also discussed capacity expansion progress, cost-reduction initiatives across logistics, renewable power and clinker factor, and temporary suspension of some older manufacturing facilities.

Ambuja Cements reported FY26 sales volume of 73.7 million tonnes, up 16% year-on-year, with normalized EBITDA of Rs 6,539 crore, up 31%, and PAT of Rs 2,647 crore, up 17%. Management attributed higher-than-expected costs during the quarter to freight, packaging, fuel and branding expenses, particularly at the newly acquired Sanghi and Penna assets. For FY27, management guided to consolidated volumes of around 80 million tonnes and outlined a plan to reduce costs by Rs 250 per tonne, while acknowledging a recalibration of its longer-term capacity expansion timeline.