Ambuja Cements Reports Strong First Quarter Earnings for FY27 Driven by Premiumisation and Operational Excellence
New Delhi, July 29, 2026: Ambuja Cements Limited, part of the diversified Adani Portfolio and the world’s ninth largest cement company, has reported a robust financial and operational performance for the first quarter ended June 30, 2026. Demonstrating solid financial health, the company maintains a debt-free balance sheet with a net worth of ₹71,954 crore, cash and cash equivalents of ₹844 crore, and top-tier AAA and A1+ credit ratings from CRISIL and CARE to back its ongoing capital expenditure plans, Ambuja Cements said in a press release.
For the first quarter of FY27, Ambuja Cements achieved consolidated sales volumes of 17.1 million tonnes, generating revenue from operations of ₹9,500 crore. Operating EBITDA reached ₹1,589 crore (₹931 PMT) with a margin of 16.7%, marking a sequential expansion of 331 basis points compared to the previous quarter. The company reported a Profit After Tax (PAT) of ₹660 crore and a diluted earnings per share (EPS) of ₹2.32, navigating an environment impacted by geopolitical developments in West Asia that drove up imported fuel, freight, and logistics costs across the broader cement industry.
To counteract these external cost pressures, the manufacturer achieved a sequential cost reduction of ₹206 PMT through disciplined operational management, increased energy efficiency, a lower clinker factor, and an expanded green power share of 34%, up from 28% in the same period last year. Operational efficiencies were further enhanced by reducing primary lead distance to 249 kilometers and increasing premium products to 34% of trade sales.
“We have started FY’27 with strong momentum, driven by our focus on value-led growth, premiumisation and disciplined execution. Higher trade sales and an increased share of premium products strengthened our market mix, resulting in improved profitability and quality of earnings. Despite temporary cost headwinds arising from the West Asia geopolitical tensions, we delivered a sequential cost reduction of Rs. 206 PMT through operational excellence, improved energy efficiency, a lower clinker factor and disciplined cost management. This resulted in a 331 bps QoQ expansion in EBITDA margin to 16.7%,” said Vinod Bahety, Whole Time Director and CEO of Ambuja Cements Limited.
Looking ahead, Ambuja Cements is expanding its production footprint from its current 109 MTPA capacity toward a targeted 119 MTPA by the end of FY27. Trial production has already commenced at facilities in Dahej (1.2 MTPA), Salai Banwa (2.4 MTPA), Bathinda (1.2 MTPA), and Jodhpur (2 MTPA), with trial runs scheduled at Kalamboli (1 MTPA) and Warisaliganj (2.4 MTPA) in the second quarter, alongside the planned commissioning of a 4 MTPA clinker line at Maratha in 2027.
“Looking ahead, we are confident on continuing our momentum and improve our cost structure further. We are well on track to increase our capacity to 119 MTPA by the end of FY’27, with the commissioning of Dahej (1.2 MTPA), Salai Banwa (2.4 MTPA), Bathinda (1.2 MTPA) Jodhpur (2 MTPA), Kalamboli (1 MTPA) and Warisaliganj (2.4 MTPA). We are firmly on course to deliver cost reduction of approximately Rs 250 PMT to achieve targeted cost of Rs 4,250 PMT by end of FY’27,” Bahety added.
On the sustainability and technology fronts, the company partnered with UK-based Leilac Limited to advance low-carbon cement manufacturing toward its SBTi-validated Net Zero 2050 targets. It also earned GreenPro and GRIHA certifications across its blended cement portfolio, including the newly introduced Buildcem and Buildcem Pro lines, while advancing enterprise digitalisation through IoT-driven predictive maintenance, AI decision-making tools, and OT cybersecurity deployments.
“At the same time, we continue to strengthen our leadership in sustainable construction through innovation and our partnership with LEILAC, accelerating our low-carbon transition and building capabilities that will support the next phase of growth,” Bahety noted.
