Capacity Expansion Update

  • Current cement capacity: 113.5 MTPA
  • Q2 FY27 capacity addition: +4.6 MTPA commercial production commenced
  • H2 FY27 pipeline: +5.6 MTPA (3.2 MTPA ramping up; 2.4 MTPA to be commissioned)
  • Q1 FY28 expected: +4.0 MTPA Maratha clinker line

Detailed Capacity Commissioned in Q2 FY27

  • Brownfield expansion: +1.2 MTPA at Dahej Grinding Unit, Gujarat (1.4 → 2.6 MTPA)
  • Greenfield expansion: +2.4 MTPA at Salai Banwa Grinding Unit, Uttar Pradesh
  • Brownfield expansion: +1.0 MTPA at Kalamboli Blending Unit, Maharashtra (Total 3.0 MTPA)

H2 FY27 Pipeline Projects

  • Bathinda: 1.2 MTPA (stabilized & ramping up)
  • Jodhpur Penna: 2.0 MTPA (stabilized & ramping up)
  • Warisaliganj: 2.4 MTPA (to be commissioned)

Future Capacity Pipeline

14 projects awarded to add 29.7 MTPA cement capacity and 10.3 MTPA clinker capacity:

1. Maratha Line 2 (CU): 4.0 MTPA clinker, Maharashtra, completion by May 2027

2. Amravati (GU): 2.9 MTPA cement, Maharashtra, completion by September 2027

3. Assam Umrangso (CU): 4.0 MTPA clinker, Assam, completion by December 2028

4. Assam Rangia (GU): 2.9 MTPA cement, Assam, completion by December 2028

5. Assam Hojai (GU): 2.9 MTPA cement, Assam, completion by December 2028

6. Mundra (CU): 2.3 MTPA clinker, Gujarat, completion by May 2028

7. Mundra (GU): 2.9 MTPA cement, Gujarat, completion by May 2028

8. Godda (GU): 2.9 MTPA cement, Jharkhand, completion by March 2028

9. Muzaffarpur (GU): 2.9 MTPA cement, Bihar, completion by March 2028

10. Hazira (GU): 2.9 MTPA cement, Gujarat, completion by March 2028

11. Raigad (GU): 2.9 MTPA cement, Maharashtra, completion by March 2028

12. Kalyan (GU): 2.9 MTPA cement, Maharashtra, completion by March 2028

13. Dahanu (BU): 0.7 MTPA cement, Maharashtra, completion by March 2028

14. Dadri Line 2 (GU): 2.9 MTPA cement, Uttar Pradesh, completion by March 2028

Merger Update

  • Ambuja shareholders approved amalgamation of ACC Limited and Orient Cement Limited with Ambuja Cements Limited
  • NCLT-convened meetings held on September 28-29, 2026
  • Overwhelming voting support received
  • Awaits final NCLT sanction, expected completion in FY27
  • Expected benefits: simplified corporate structure, operating synergies, improved coordination

Consolidated Financial Performance Q2 FY27

  • Volume: 16.5 MnT (down 1% YoY, down 3% QoQ)
  • Revenue from Operations: ₹9,197 Cr (flat YoY, down 3% QoQ)
  • EBITDA: ₹1,271 Cr (down 28% YoY, down 20% QoQ)
  • EBITDA Margin: 13.8% (down 5.4pp YoY, down 2.9pp QoQ)
  • EBITDA per ton: ₹770 (down 27% YoY, down 17% QoQ)
  • Reported PAT: ₹236 Cr (down 90% YoY, down 64% QoQ)
  • Normalized PAT: ₹300 Cr (down 54% YoY, down 50% QoQ)
  • EPS (diluted): ₹0.78 (down 89% YoY, down 67% QoQ)

Consolidated Financial Performance H1 FY27

  • Volume: 33.6 MnT (down 4% YoY)
  • Revenue from Operations: ₹18,697 Cr (down 4% YoY)
  • EBITDA: ₹2,860 Cr (down 23% YoY)
  • EBITDA Margin: 15.3% (down 3.8pp YoY)
  • EBITDA per ton: ₹852 (down 20% YoY)
  • Reported PAT: ₹896 Cr (down 73% YoY)
  • Normalized PAT: ₹895 Cr (down 44% YoY)

PAT Reconciliation

Normalized PAT adjustment items for Q2 FY27:

  • Add: Voluntary Severance Scheme: ₹85 Cr
  • Add: Tax Impact: ₹21 Cr (negative adjustment)
  • Normalized PAT excludes government grants, stamp duty, tax provision reversals, and interest on income tax

Operational Highlights

  • Trade share increased by 6pp to 74% YoY
  • Premium products rose by 2pp to 37% of trade sales
  • Focus on improving trade mix and rationalizing low-margin volumes
  • Trade volumes grew 8.6% YoY
  • Continued focus on institutional business growth through solutions-led approach

Cost Environment

  • Elevated fuel and logistics costs due to higher petcoke and coal prices
  • Constrained coal availability
  • Commercial diesel prices increased by 25-30% in past 6 months
  • Geopolitical impact of ~₹228 PMT in Q2 FY27
  • Power and fuel cost optimization through fuel mix optimization, WHRS, and AFR
  • Freight cost optimization through modal shift, fleet optimization, and EV induction (150 EV trucks by Dec 2027)

Cash Position and Capital Structure

  • Cash and Cash Equivalents: ₹1,070 Cr (down from ₹1,770 Cr opening balance)
  • Operating EBITDA: ₹2,860 Cr
  • Capex: ₹2,963 Cr
  • Dividend paid: ₹569 Cr
  • Remain debt free with highest credit ratings: Crisil, CARE, IndiaRatings & ICRA - AAA (Stable)/A1+

ESG Credentials

  • Sustainalytics Rating: #7/109 for Ambuja, #6/109 for ACC
  • S&P CSA Net Strength: 80/82 for Ambuja/ACC
  • CareEdge ESG 1+ leadership category
  • 61% green power consumption at consolidated level

Industry Outlook

  • FY27 cement demand growth: 6-7% (based on H1 volumes & H2 estimates)
  • RBI FY27 inflation forecast: 5.2% (raised from 5.0%)
  • RBI GDP growth outlook: 7.1% (raised from 6.7%)
  • Policy tailwinds: blended cement promotion, CCTS emission targets, rail-freight reforms, GST reduction from 28% to 18%
  • Demand drivers: PMAY, PM Gati Shakti (352 projects worth ₹16.1 lakh crore), Mumbai-Ahmedabad Bullet Train, data centers (~USD 30 Bn opportunity by FY30)

Geographic Presence

  • Pan India presence in 31 States & Union Territories and 665+ districts