Adani Cement has released an investor presentation showcasing Ambuja Cements’ robust growth strategy. Key highlights include India’s strong cement demand driven by infrastructure and urbanization, and Ambuja’s focus on capacity expansion to 155 MTPA by Mar’28. The presentation also emphasizes operational efficiencies, sustainability initiatives, and a commitment to innovation.
India’s Cement Sector
India’s cement consumption is poised for substantial growth, underpinned by strong GDP forecasts and a large consumer base. Real GDP grew at 6.5% in FY25 and is estimated to reach 7.4% in FY26. A target to achieve a developed economy status by 2047, with a GDP of approximately $35 Trillion is expected to be a growth driver. This necessitates investments in infrastructure including airports, roads and digital infrastructure.
Ambuja Cements: Strategic Overview
Ambuja Cements, along with ACC, is strategically positioned. Key aspects include:
- Capacity Expansion: Targeting a capacity of 155 MTPA by Mar’28.
- Government Support: Leveraging policy tailwinds and initiatives like the PLI Scheme and Smart City projects.
- Cost Reduction: Implementing cost-saving measures with targets for exit run rates.
Financial Performance
Strong financial results were presented. Some key highlights include:
- 9MFY’26: Cement Volume +19% YoY, Revenue +22% YoY at $3,307 Mn, and EBITDA +62% YoY.
- Q3FY’26: Cement Volume +17% YoY and Revenue +20% YoY.
Sustainability and ESG
The company emphasizes sustainable practices. Key ESG highlights include:
- Reduced gross specific CO2 emissions.
- Increased use of waste-derived resources.
- Renewable energy initiatives.
Leadership and Governance
The presentation highlights the composition of the Board of Directors and Management team. A commitment to diverse expertise and independent oversight is noted.
Source: BSE
