By Somya Panwar
The Adani Group-owned Ambuja Cement Ltd. announced a profit of Rs 2,620.09 crore on Wednesday for the third quarter of FY25, revealing an unexpected increase of 140.21% as compared to the equivalent quarter of FY24, which was Rs 1.090.73 crore. The company’s revenue operation went up by 4.51 per cent from Rs 8,052.42 crore to Rs 8,415.31 during the same period of previous financial year. With posting volume growth of 17 per cent YoY, at 16.5 million T, Ambuja Cements became the highest ever cement sales volume company in a quarter.
Whole Time Director & CEO of Ambuja Cements Limited, Ajay Kapur mentioned that the company is pleased to announce the report of quarter of sustainable performance, aligning with their growth plan. The focus of the company is on innovation, digitisation, customer satisfaction, and ESG, their vision drives the expansion into new geographies, he said.
Further, he added the significant increase in the market presence and the capacity will be dove-tailed with their ongoing expansion projects, delivering exceptional value for the stakeholders and propelling them as a company towards achieving over 104 MTPA capacities by Q4FY25 and 118 MTPA by FY26.
200 MW solar powers at khadwa have been commissioned by Ambuja Cements, which will lead to reduction of power cost in upcoming quarter. They have also announced 631 million MT Limestone reserves, taking total reserve to 8.3 billion MT during Dec’24.
Orient Cement acquisition is expected to be closed in Q4FY25 while the merger of Penna and Sanghi is under process, the company announced in a regulatory filing. “Acquired assets like Sanghi, Asian and Penna are doing well, although maintenance of penna plants operations are getting stabilised, clinker capacity utilisation has gone up to 85 per cent”, they said.
Ambuja Cement’s net worth stands at Rs 62,535 during the quarter with an increase by Rs2,619 crore. The Cash & Cash Equivalent stood at Rs 8755 crore (14 percent of the net worth) and the company remains debt free.
According to Ambuja Cement, improvements in government investment and housing and infrastructure consumer demand are expected to turn around a drop in cement demand of 1.5% to 2% in H1FY25. The growth of demand by 4-5 per cent is expected in FY’25, supported by the pro-infra and housing Budget 2025.