Ambuja Cements Limited (NSE:AMBUJACEM) is a major player in the Indian cement industry. It is one of the largest cement manufacturers in India and has a strong presence in the western region of the country. Ambuja Cements Limited is known for its focus on sustainable and environment-friendly practices, and has received several awards for its efforts in this area. The company’s products include ordinary portland cement, portland pozzolana cement, and ready-mix concrete.
Ambuja Cements Limited reported its Q3FY23 financial results, with strong performance in cost optimization and operational synergies. The company remains debt-free with a solid balance sheet, and a healthy cash and cash equivalent position of Rs 9,454 crore. Volume increased by 7% to 13.7 MTPA, and net revenue increased by 11% to Rs 8,036 crore. Cost reduction was achieved with a QoQ reduction of Rs 283 PMT (5%) to 5,026 PMT, leading to an increase in EBITDA of 161% to Rs 1,138 crore and an expansion of the EBITDA margin from 6.2% to 14.6%. The PAT rose to Rs 488 crore compared to Rs 51 crore in the previous quarter.
The CEO, Mr. Ajay Kapur, expects the cement demand to further grow due to increased focus on infrastructure capex in the budget and the company remains focused on being one of the lowest cost producers. The Ametha Integrated Unit is set to be commissioned in July 2023 and will increase kiln capacity by 3.3 MTPA and add a 1 MTPA grinding unit.