Ambuja Cements announces record results

Ambuja Cements announces record results
02 May 2024

Ambuja Cements, part of the Adani Group, has reported record-breaking financial results for the 4QFY23-24 as well as the full year, ended 31 March 2024. According to the company, the strong performance has been driven by improved KPIs in all operational parameters. 

The 4QFY23-24 saw consolidated sales volumes of cement and clinker of 16.6Mt, compared to 14.1Mt in the same period a year earlier. Consolidated revenue came in at INR88,940m (US$1.065bn), versus INR79,660m in the comparable period in 2023, while consolidated operating EBITDA stood at INR16,990m, up from INR12.390m in the 4QFY22-23. Consolidated profit after tax in the three-month period was INR15,260m, up from INR7630m in the same period a year earlier. 

The FY23-24 saw consolidated sales of 59.2Mt of cement and clinker, up from 54.7Mt in the previous year. Consolidated revenue from operations stood at INR331,600m, an advance from INR310,370m in FY22-23, while consolidated operating EBITDA improved from INR36,980m to INR64,000m over the same time frame. Consolidated profit after tax for the 12-month period came in at INR47,380m, compared to INR21,680m in the same period a year ago. 

“Our impressive financial performance during the year is a testament to the resilience and adaptability of our business model,” said Ajay Kapur, whole-time director and CEO, Ambuja Cements. “It mirrors the Indian economy, which has emerged as a bright spot amidst a challenging global economic scenario. We remain steadfast in delivering long-term value and sustainable growth as we soar towards doubling capacities, investment in efficiency improvement, green power, assured supplies of raw material and fuel.” 

FY23-24 saw the company successfully complete three acquisitions boosting its cement production capacity by 11.4Mta to 78.9Mta. A further 4Mta of clinker capacity and 4.8Mta of cement capacity is expected to begin operations in the 4QFY24-25. Kiln fuel costs in FY23-24 fell by 26 per cent YoY, as a result of an optimised fuel basket, improved linkage coal materialisation and synergies with group company, while waste heat recovery system as a share of total power consumption advanced by 7.4 percentage points to 12.4 per cent. 

Looking ahead, pre-election spending in India, coupled with the government’s ongoing emphasis on infrastructure development and sustained real-estate activity, paints a positive picture in terms of cement demand. Through accelerated growth, cost leadership and synergy with other group businesses, Ambuja Cements expects to maintain its market leadership. 

Published under Cement News