Ambuja Cements (500425) Q4 25/26 earnings summary

Executive summary

• Achieved record annual sales volume of 73.7 million tons for FY26, up 16% year-over-year, outpacing industry growth despite headwinds from weather, geopolitical factors, and state elections.

• Major acquisitions and amalgamations completed, including Sanghi Industries, Penna Cement, and Orient Cement, significantly expanding capacity and operations; ACC and Orient integration ongoing.

• Focused on operational synergies, premiumization, disciplined capital allocation, and digitalization initiatives to enhance efficiency.

• Audited standalone and consolidated financial results for FY26 were approved with unmodified audit opinions; board recommended a ₹2.00 per share dividend.

• Revenue from operations rose 15% year-over-year to ₹40,656 crore; consolidated EBITDA increased 31% to ₹6,539 crore, with normalized EBITDA margin at 16.1%.

Financial highlights

• Consolidated revenue from operations for FY26 reached ₹40,656 crore, up 15% year-over-year; standalone revenue was ₹25,052.05 crore.

• EBITDA for FY26 at ₹6,539 crore, up 31% year-over-year; EBITDA per ton at ₹887, up 12%.

• PAT at ₹2,647 crore (normalized), up 17% year-over-year; reported PAT at ₹5,637 crore.

• Company remains debt-free with highest credit ratings and cash and cash equivalents at ₹1,770 crore as of March 31, 2026.

• CapEx for FY26 was ₹7,500 crore; FY27 estimate is ₹6,000–6,500 crore.

Outlook and guidance

• FY27 volume guidance at 80 million tons, implying 8% growth, above expected industry growth of 5–5.5%.

• Targeting capacity of 119 million tons by end of FY27, with focus on optimizing current assets and improving utilization to 85%.

• Cost reduction target of ₹150–250 per ton for FY27, aiming for ₹4,250 per ton average.

• Premium cement share of trade sales expected to sustain at 36%.

• Board recommended a ₹2.00 per share dividend, subject to shareholder approval.