Ambuja Cements delivered a strong performance in FY’26, recording a 16% volume growth to 73.7 MnT, significantly outpacing the industry. The company achieved an annual operating EBITDA of ₹887 per tonne. Amidst the ongoing creation of a unified ‘One Cement Platform,’ the company successfully completed the mergers of Sanghi Industries and Penna Cement, while continuing its focus on sustainability and aggressive capacity expansion to reach a current capacity of 109 MTPA.
Financial and Operational Highlights
Ambuja Cements demonstrated resilient growth in FY’26, achieving a consolidated revenue from operations of ₹40,656 crore. The quarterly volume for Q4FY’26 (Jan-Mar) reached 19.9 MnT, reflecting a 10% growth compared to the same period in the previous year. Despite quarterly volatility, the company maintained an annual operating EBITDA of ₹887 per tonne, representing a 12% increase on an annual basis.
Strategic Consolidation and Asset Expansion
The company has made significant strides in its ‘One Cement Platform’ strategy. The merger/amalgamation of Sanghi Industries became effective on March 12, 2026, followed by the successful integration of Penna Cement on April 10, 2026. These integrations are pivotal in bolstering the company’s pan-India presence, which now spans 31 states and over 665 districts. With a current cement capacity of 109 MTPA, the company is on track to further increase this to approximately 119 MTPA through upcoming projects commissioned in H1FY’27.
Sustainability and Digital Transformation
Ambuja Cements continues to lead with a strong focus on ESG and technological innovation. The company remains water positive at 12 times and has planted 7.3 million trees toward its 2030 pledge. Digital transformation remains a key pillar for operational efficiency, highlighted by the launch of CiNOC (Cement Intelligent Network Operations Centre), which utilizes an AI layer to optimize enterprise-wide operations. Additionally, the company’s commitment to cost reduction is supported by an increased share of green power and strategic initiatives expected to reduce total cement costs by ₹150–200 per tonne in FY’27.
Market Outlook
While the long-term growth story of the Indian infrastructure sector remains intact, driven by government capital expenditure and structural demand, the company projects a soft demand growth of approximately 5% for FY’27. This outlook factors in potential headwinds such as a predicted below-normal monsoon and global geopolitical tensions impacting fuel prices. The company remains committed to mitigating these risks through fuel mix optimization and disciplined production management.
Source: BSE
