- Q4 sets new benchmarks with 19.9 MnT sales and ₹10,915 crore revenue, both all-time highs
- FY26 EBITDA at ₹6,539 crore (₹887 PMT) underscores margin resilience amid cost headwinds
- ebt-free balance sheet, ₹71,846 crore net worth reinforce financial strength and capex readiness
- ‘One Cement Platform’ gains traction as Sanghi, Penna integration advances; capacity hits 109 MTPA
- West Asia conflict, monsoon risks to temper FY27 outlook; demand growth pegged at ~5%
NE BUSINESS BUREAU
AHMEDABAD, MAY 5
Ambuja Cements Limited, part of the diversified Adani Group portfolio, has delivered a record-breaking FY26 performance, posting its highest-ever annual sales volume of 73.7 million tonnes and a 31% year-on-year surge in EBITDA to ₹6,539 crore, signalling strong operational momentum despite macro headwinds.
The company reported annual revenue of ₹40,656 crore and EBITDA of ₹887 per metric tonne, driven by improved realisations, a higher share of premium products, and better asset utilisation.
“FY 26 has been year of resilience for the Cement sector which has witnessed consolidation, GST 2.0 reforms on one side, while adverse weather conditions, global geo-political factors and state elections affected some or the other way. Against this backdrop, Ambuja Cements delivered a resilient performance for the year with highest ever annual volume of 73.7 MnT, revenue of Rs 40,656 Cr, EBITDA at Rs 6,539 Cr (Rs 887 PMT) and normalised PAT of Rs 2,647 Cr. For Q4 FY 26, we have sustained the performance at volume of 19.9 MnT, revenue of Rs 10,915 Cr & EBITDA at Rs 1,464 Cr.” said Vinod Bahety, Whole Time Director and CEO.
“**Volumes grew well ahead of the industry, followed by improved realisations driven by a higher share of trade & premium products, and better utilisation of the existing assets.
FY26 marked a transition from expansion to consolidation with significant progress on ‘One cement platform’ wherein Sanghi and Penna merged successfully with Ambuja. We remain focused on stabilising new capacities, strengthening operating efficiency and improving asset utilisation, supported by a debt-free balance sheet, strong liquidity and the highest credit ratings.
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 early forecast of below normal monsoon. We expect industry demand at ~ 5% for FY 27.**”
Q4FY26: New Highs Across Metrics
The March quarter capped the year on a strong note, with highest-ever quarterly sales volume of 19.9 MnT (up 10% YoY) and record revenue of ₹10,915 crore (up 9% YoY). Operating EBITDA stood at ₹1,464 crore, with margins at 13.4% and EBITDA per tonne at ₹735.
The company maintained its debt-free status, underlining balance sheet discipline, and announced a dividend of ₹2 per equity share.
Integration, Expansion and Efficiency Push
Ambuja successfully completed the amalgamation of Sanghi and Penna Cement, marking a key milestone in its “One Cement Platform” strategy. Meanwhile, ACC and Orient Cement have filed applications with stock exchanges and are awaiting regulatory clearances.
Capacity expansion gathered pace with 109 MTPA installed capacity, supported by new grinding units and clinker lines. The company expects capacity to rise to ~119 MTPA in H1 FY27, though expansion is being recalibrated to ensure optimal utilisation and capital discipline.
Cost Pressures, Strategic Mitigation
The quarter witnessed cost pressures from fuel, diesel, packaging constraints and rupee depreciation, exacerbated by the ongoing West Asia geopolitical tensions. These challenges are expected to persist into H1 FY27.
Ambuja is countering this through fuel mix optimisation, higher renewable energy usage (green power share up to 32%), logistics efficiencies via rail and sea, and tighter inventory management.
Strong Balance Sheet, Digital Edge
The company closed FY26 with a net worth of ₹71,846 crore and cash reserves of ₹1,770 crore, backed by AAA/A1+ ratings. Digital transformation initiatives such as the Cement Intelligent Network Operating Centre (CiNOC) are enabling real-time, data-driven decision-making.
ESG and Sustainability Momentum
Ambuja continues to advance its sustainability agenda with SBTi-validated net-zero targets, 12x water positivity, and expanded circularity initiatives, including utilisation of 9.78 million tonnes of waste-derived resources.
Outlook: Growth Intact, Near-Term Caution
While India’s infrastructure-led growth story remains structurally strong, the company expects cement demand growth of around 5% in FY27, weighed down by monsoon uncertainties and global geopolitical volatility.
With a debt-free balance sheet, expanding capacity, and a sharpened focus on premiumisation, Ambuja appears well-positioned to navigate near-term challenges while sustaining long-term growth momentum.
