Ambuja Cements consolidated Q1 PAT up 20% on better operational performance

Gautam Adani-promoted Ambuja Cements reported a 20 per cent rise in consolidated profit after tax (PAT), attributable to the owners of the company, for the quarter ended June 30, 2023 (Q1FY24) on improved operational performance and higher other income.

For Q1FY24, Ambuja Cements' profit after tax (PAT) stood at Rs. 905.61 crore, up from Rs. 752 crore a year ago. The company's revenue reached Rs. 8,712.90 crore, an increase of 8.5 per cent from Rs. 8,033 a year ago. The reported PAT for the company stood at Rs. 1,135.46 crore, up 31 per cent from Rs. 865.44 crore. The company’s other income also rose 87 per cent year-on-year (YoY) to Rs. 269 crore. Sequentially, the company’s PAT grew 40 per cent from Rs. 645 crore a quarter ago.

"Along with the strong demand for our premium cement products, growth was fuelled by our various competencies in operational excellence, supply chain management, and sales & marketing excellence. Our synergies with the Adani group companies are lowering input costs, which is boosting earnings before interest, taxes, depreciation, and amortisation (Ebitda) growth,” said Ajay Kapur, whole-time director and chief executive officer, Ambuja Cements.

The cement major's Ebitda, according to the company’s presentation, improved to Rs. 1,247 per tonne, from Rs. 1,035 per tonne a year ago. This figure does not include the dividend income.

The company’s standalone volume, excluding ACC, stood at 9.1 million tonnes, up 23 per cent YoY. Ambuja Cements reported that sustained volume growth was supported by an increase in blended cement and improvement in efficiency parameters.

In Wednesday’s trading, Ambuja Cements closed flat at Rs. 460.95 per share on the BSE.