Ambuja Cements (500425) Q4 24/25 earnings summary

Executive summary

• Achieved over 100 million tons cement capacity, becoming the ninth-largest globally in just 13 months, with a clear roadmap to reach 140 million tons by FY 2028 through organic and inorganic growth, including major acquisitions such as Penna and Orient Cement.

• Record quarterly and annual volumes, with Q4 FY25 volume at 18.7 MnT (up 13% YoY) and FY25 volume at 65.2 MnT (up 10% YoY).

• Leadership realignment with new CEO, CFO, and key appointments to drive growth, digital transformation, and operational excellence.

• Integration of recent acquisitions progressing well, unlocking synergies in operations, logistics, and procurement.

• Strong focus on ESG, with SBTi-validated net-zero targets and strategic partnerships for zero-carbon process heating.

Financial highlights

• Q4 FY25 revenue at INR 9,889 crore, up 11% year-on-year; annual revenue at INR 35,045 crore, highest ever.

• Q4 EBITDA at INR 1,868 crore (19% margin, INR 1,001 per ton); FY25 EBITDA at INR 5,971 crore.

• Q4 FY25 PAT was INR 1,282 crore; FY25 PAT was INR 5,158 crore.

• Cash and cash equivalents at INR 10,125 crore as of March 31, 2025; consolidated cash at INR 5,043.32 crore post-acquisitions.

• Net worth increased to INR 64,000 crore from INR 50,000 crore year-over-year; company remains debt-free.

Outlook and guidance

• Targeting 118 million tons capacity by FY 2026 and 140 million tons by FY 2028, with major projects in advanced stages.

• Cost reduction roadmap to achieve INR 3,650 per ton by FY 2028, with INR 150-175 per ton already achieved and further INR 300-325 per ton expected.

• Premium product share targeted to reach 35% by FY 2026, up from 29% in Q4.

• Focus on increasing green power share to 60% and TSR to 27% by 2028.

• Industry demand expected to grow 8% in FY 2026, outpacing supply growth.