1. Opening Hook
While the cement industry politely blamed monsoons and waited for demand to “normalize,” Ambuja Cements decided Q2 was the right quarter to flex. Hard.
Volumes surged, costs collapsed, margins exploded—and management sounded less like cement executives and more like operators running a logistics-tech-energy hybrid.
This concall wasn’t about survival or cyclical recovery. It was about cost annihilation, capacity domination, and a very public declaration that Adani Cement is done playing catch-up. EBITDA crossed four digits per ton, costs hit peer-low levels, and capacity targets quietly jumped from 140 to 155 MTPA.
If you came here expecting a boring cement commentary, sorry. This was a victory lap disguised as an earnings call.
Read on—because the real shocker is how cheap Ambuja plans to get by FY28.
2. At a Glance
- Volumes up 20% YoY – Industry grew 4%; Ambuja chose violence.
- EBITDA ₹1,060/ton – Cement margins finally behaving like FMCG.
- EBITDA margin 19.2% – Up 450 bps; cost cutters smiling.
- PAT up 364% YoY – Tax write-back helped, but ops did the heavy lifting.
- Capacity target raised to 155 MTPA – Because 140 wasn’t aggressive enough.
3. Management’s Key Commentary
“EBITDA of ₹1,060 per ton, a jump of 32% YoY.”
(Translation: Four digits achieved, peers still warming up 😏)
“Total cost reduced by 5% YoY; kiln fuel cost is the lowest among peers.”
(Cost leadership unlocked.)
“We will exit FY26 at ₹4,000 per ton cost.”
(And keep slicing till FY28 🔪)
“Debottlenecking will add 15 million tons at $48 per ton capex.”
(Low-capex growth is the new religion.)
“Premium cement share is now 35% of trade sales.”
(Pricing power quietly compounding.)
“CINOC will embed AI across the enterprise.”
