Ambuja Cements Q1 FY27 results: Consolidated net profit drops 34%; revenue declines to ₹9,474 crore YoY

Its revenue from operations for the quarter ended June 30, 2026, dipped 7.5% to ₹9,474 crore as against ₹10,244 crore in the year-ago period.

Ambuja Cements also reported a decline in operational performance in Q1 as its operating profit, also known as earnings before interest, taxes, depreciation, and amortisation (EBITDA), slipped 18% to ₹1,563 crore from ₹1,916 crore in the same period of the previous fiscal year.

Its operating profit margin, also known as EBITDA margin, contracted to 16.5% from 18.70% in the corresponding period last year. 

On a standalone basis, Ambuja Cements’ profit after tax (PAT) dropped 37% to ₹504 crore in Q1 FY27 as compared to ₹797 crore YoY. The revenue from operations, however, increased 3% to ₹6,320 crore from ₹6,157 crore seen in the same quarter of the previous fiscal year.

The EBITDA came in at ₹927 crore in Q1 FY27, falling 10% from ₹1,030 crore YoY while the margin contracted to 14.67%.

Capacity and cement volumes in Q1

Ambuja Cements reported quarterly sales volume of 17.1 million tonnes, with trade share increasing by 4 percentage points annually to 78%. The share of premium products also improved by 1 percentage point YoY to 34%, the company said.

“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,” said Vinod Bahety, Whole Time Director and CEO, Ambuja Cements.

The firm’s cement capacity stood at 109 MTPA as of June 30, 2026, and is expected to rise to 119 MTPA by FY27.

The cement volume sales moderated in the reporting quarter as the company remained focused on improving trade mix, rationalising low-margin volumes and pushing for blended cement. This strategic approach is intended to support value over volume, Ambuja Cements said.

Cost reduction

The cement-making firm, in a statement, added that it has achieved a cost reduction of ₹206 per metric tonne sequentially in the reporting quarter through focused cost optimization initiatives, despite headwinds from the West Asia conflict.

Ambuja, however, remains firmly on track to deliver a ₹250 per metric tonne cost reduction in FY27 to achieve a committed cost target of ₹4,250 per metric tonne.

The company has reported a 75 MW increase in its renewable energy capacity, taking the total to 973 MW. Its share of green power in its overall energy mix rose to 34% in Q1.

“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),” added Bahety.

Ambuja Cements further added that the firm remains well positioned to outperform industry growth. The company will continue to leverage its strong brand portfolio, expanding its ready-mix concrete footprint, premiumisation strategy, operational excellence and cost leadership initiatives.

Following the earnings, Ambuja Cements shares were trading at ₹424.95 apiece on the National Stock Exchange, falling 1.39%.