Ambuja Cements, part of the Adani Group, reported a 42% year-on-year decline in consolidated net profit for Q2 FY25, reaching Rs 456 crore as weak cement prices and sluggish demand weighed on earnings. Although revenue rose slightly by over 1% to Rs 7,516 crore, the company’s profit missed analysts’ expectations.
Operating costs saw a 4% reduction per metric tonne, thanks to a 13% decrease in kiln fuel costs from increased use of low-cost imported petcoke and e-auction coal. However, the EBITDA margin fell to 14.8%, down from 17.5% last year, reflecting pricing pressures and subdued growth in the cement sector.
Sales volume of clinker and cement was up 9.0% YoY to 14.2 million tonnes, its highest Q2 volume in five years. The financial performance was more complex considering the recent acquisitions for stakes in Asian Concretes and Sanghi Industries.
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Source: Moneycontrol
News Desk
