Ambuja Cements’ Q2 Revenue Rises to Rs 7516 Cr

Ahmedabad / October 28, 2024: Ambuja Cements Limited reported its highest-ever quarterly revenue of Rs 7,516 crore in the second quarter of FY24, driven by a 1% increase in trade sales volume and a significant 3.3 percentage point YoY increase in premium product sales. This growth, coupled with improved operational efficiencies, led to an EBITDA of Rs 780 crore and a margin of 14.8%. The company’s strong financial position, with a net worth of Rs 59,916 crore and a debt-free status, along with a cash and cash equivalent balance of Rs 10,135 crore, positions it for accelerated future growth. Ambuja’s consolidated business-level working capital of 33 days reflects its agility in managing inventory and receivables, a statement from the company said.

Ajay Kapur, Whole Time Director & CEO, Ambuja Cements, said, “We are glad to deliver another sustained performance aligned to our growth blueprint and setting new benchmarks in efficiency. We continue to focus on innovation, digitisation, customer satisfaction and ESG as the core elements of our business. With our strong foothold across the nation, we are further expanding our footprint in new geographies in-line with our vision. Post successful completion of the orient cement transaction, we are well poised to achieve 100+ MTPA capacity by this fiscal year end.’

The company has been recognized with the prestigious Golden Peacock Award for excellence in ESG and has signed on to the World Economic Forum’s transitioning industrial cluster initiative. Ambuja and ACC, both committed to achieving Net Zero by 2050, are the only two Indian cement companies undergoing SBTi validation for their Net Zero targets. Both companies have published their Sustainability Reports, highlighting initiatives in renewable energy, water conservation, circular economy, and social impact. Together, Ambuja and ACC have positively impacted over 4.72 million people through contributions to healthcare, education, employment, and sustainable livelihoods, the company added. 

Cement demand is expected to see a significant boost in the second half of FY 2025, fueled by strong infrastructure projects and ongoing needs from the housing and commercial sectors. The introduction of PMAY Urban Housing 2.0, with a substantial allocation of Rs 11 lakh crore, coupled with the government’s sustained focus on infrastructure development as a key economic driver, bodes well for the cement sector. Strategic investments in roads, railways, and urban and commercial amenities are poised to drive robust growth. Industry experts anticipate a 4-5% growth in demand during FY 2025, Ambuja Cement said in the statement.