Ambuja Cements Q4 Results: Net profit rises nearly 79% YoY; board announces dividend for FY26

The Adani Group-owned Ambuja Cements on Monday, May 4, reported a consolidated net profit of ₹1,830 crore in the fourth quarter of financial year 2025-26 (Q4 FY26), marking a growth of 78.5% from ₹1,025 crore during the same period last year.

Its revenue from operations for the quarter ended March 31, 2025, increased 10% to ₹10,892 crore as against ₹9,894 crore in the year-ago period.

Ambuja Cements, however, reported a decline in operational performance in Q4 as its operating profit, also known as earnings before interest, taxes, depreciation, and amortisation (EBITDA), slipped 19% to ₹1,441 crore from ₹1,781 crore in the same period of the previous fiscal year.

Its operating profit margin, also known as EBITDA margin, fell to 13.2% from 18% in the corresponding period last year. 

Ambuja Cements reported its highest-ever annual volume of 73.7 million tonnes, along with an annual EBITDA of ₹887 per metric tonne.

The cement firm said the amalgamation of Sanghi Industries and Penna Cement with the company has been successfully completed, with Sanghi getting delisted from stock exchanges effective April 6, 2026. It added that ACC Limited and Orient Cement have filed the necessary applications with BSE and NSE and are currently awaiting no-objection certificates from SEBI.

The company further said that during Q4, a 3 MTPA clinker line at Jodhpur was commissioned, while trial runs have commenced for a 1.2 MTPA grinding unit line 2 at Dahej. It also reported that the share of green power increased by 6 percentage points year-on-year to 32% in Q4 from 26% a year ago.

Dividend details

The company’s board has recommended a dividend of ₹2 per equity share (face value ₹2 each) for FY2025–26. “The Board has recommended a dividend of Rs.2.00/- (two rupees only) per equity share of face value of Rs.2/- each, fully paid-up (i.e., 100%) for the financial year 2025-26, subject to approval of shareholders of the company," Ambuja Cement said in a regulatory filing.

Ambuja Cements has fixed June 12, 2026, as the record date to determine shareholders eligible to receive the dividend for FY26. The said dividend, if declared by the shareholders at the ensuing AGM, shall be paid on or after July 1, 2026, the company said.

Capacity expansion

Ambuja Cements said it plans to commission multiple projects in H1FY27, including grinding capacities at Dahej (1.2 MTPA), Bhatinda (1.2 MTPA), Salai Banwa (2.4 MTPA), Kalamboli (1 MTPA), Jodhpur (2 MTPA), and Warisaliganj (2.4 MTPA), along with an additional clinker unit at Maratha with a capacity of 4 MTPA.

The company said that with these additions, its total capacity is expected to increase to around 119 MTPA.

It also stated that capacity expansion plans are being recalibrated in line with recent railway policies on bulk cement terminals, with future additions to be pursued more gradually after achieving optimal utilisation levels, reflecting a focus on disciplined capital allocation and maximising return on capital employed.

Management commentary

“FY26 has been a year of resilience for the cement sector, which has witnessed consolidation and GST 2.0 reforms on one side, while adverse weather conditions, global geopolitical factors and state elections affected it in some way or the other. Against this backdrop, Ambuja Cements delivered a resilient performance for the year with the highest ever annual volume of 73.7 MnT and revenue of ₹40,656 crore,” said Vinod Bahety, Whole Time Director and CEO, Ambuja Cements.

“While India’s long-term infrastructure growth story remains fundamentally strong, the outlook for FY '27 growth remains soft due to current geopolitical challenges and an early forecast of a below-normal monsoon. We expect industry demand at ~ 5% for FY 27,” he added.

Following the earnings, Ambuja Cements shares were trading at ₹450.40 apiece on the National Stock Exchange, gaining 1.4%.