Ambuja Cements Share 2025 Q2 FY25 Profit Down 43% to Rs 456 Crore, Revenue Climbs 1%

Ambuja Cements has reported a significant decline in its net profit for the second quarter of the financial year 2025 (Q2 FY25), with a drop of 42.5% to ₹455.96 crore, down from ₹792.96 crore in the same period last year. This decline was partly attributed to an exceptional item worth ₹156.20 crore related to the settlement of arbitral proceedings between ACC Mineral Resources Ltd and JMS Mining Pvt Ltd. Despite this profit drop, the company’s revenue from operations saw a slight increase of 1.24%, reaching ₹7,516.11 crore compared to ₹7,423.95 crore in the previous year.

Ambuja Cements Share 2025

Ajay Kapur, the Whole Time Director and CEO of Ambuja Cements, highlighted the company’s strategic growth initiatives, stating that they are expanding into new geographies and are on track to achieve a capacity of over 100 million tonnes per annum (MTPA) by the end of the fiscal year. The company has also reported improvements in operational efficiencies and cost management, particularly through the use of lower-cost fuel options which have contributed to a reduction in kiln fuel costs. Additionally, Ambuja Cements’ stock experienced a notable surge of 4.61% following the Q2 results, reflecting investor confidence despite the profit decline. The company has also announced plans to acquire a nearly 47% stake in rival Orient Cement for ₹3,791 crore, which is expected to enhance its market presence further.

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Ambuja Cements Financial Overview

Q2 FY25 Profit ₹455.96 crore
Q2 FY24 Profit ₹792.96 crore

Ambuja Cements Revenue Performance

Q2 FY25 Revenue ₹7,516.11 crore
Q2 FY24 Revenue ₹7,423.95 crore

Exceptional Items Impacting Profit

Item ₹156.20 crore
Description Settlement of arbitral proceedings

Operational Initiatives

Ambuja Cements Capex Focus Areas of Improvement
Volume Increased efficiency
Cost Management Group synergies

Cost Reduction Measures

Ambuja Cements Fuel Cost ₹1.59 per ‘000 Kcal
Previous Cost ₹1.82 per ‘000 Kcal

Thermal Energy Consumption

Ambuja Cements Energy Use 758 kCal/kg of Clinker
Improvement 3 kCal/kg

Stock Market Reaction

Ambuja Cements Share Price ₹578.90
Day High 4.61% increase

Acquisition Plans

Ambuja Cements Stake Acquisition 47% stake in Orient Cement
Acquisition Cost ₹3,791 crore

Market Valuation of Orient Cement

Orient Cement Valuation ₹8,100 crore
Offer Triggered Open offer for 26% additional stake

Management Insights

Ajay Kapur Position Whole Time Director & CEO
Strategic Vision Expand footprint across new areas

Q2 Financial Challenges

Ambuja Cements Challenges Decline in net profit
Reason Exceptional settlement item

Future Growth Projections

Ambuja Cements Capacity Target 100+ MTPA
Fiscal Year End By end of FY25

Overall Market Position

Ambuja Cements Market Position Second-largest cement maker

Investor Sentiment

Ambuja Cements Investor Sentiment Confidence reflected in stock price

Ambuja Cement Share Summary

Ambuja Cements recent quarterly results reveal both challenges and opportunities as it navigates a complex market landscape. The significant drop in net profit, largely due to exceptional items, contrasts with slight revenue growth and strategic initiatives aimed at enhancing operational efficiency. The positive stock market reaction post-announcement and plans for a substantial acquisition signal investor confidence in the company’s long-term growth potential. As Ambuja Cements works toward expanding its capacity and market presence, it remains a key player in the Indian cement industry

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