Latest news with #AmbujaCement
Time of India
8 hours ago
- Business
- Time of India
Ambuja Cements aims to reach 118 MTPA by FY26
NEW DELHI: Adani Group firm Ambuja Cements -- the second largest cement producer in the country -- contributes to nearly 30 per cent of the cement used for India's homes and infrastructure, the company said in its latest annual report. Ambuja Cements, which has crossed 100 MTPA (Million Tonnes Per Annum) capacity in FY25 in a record time, mainly through acquisitions, now aims to reach 118 MTPA by FY 2026 and 140 MTPA by FY 2028, primarily through brownfield expansion projects. "Ambuja Cements, now a core part of the Adani Group's cement business, contributes to nearly 30 per cent of India's homes and infrastructure. This is a story of resilience fuelled by a growth mindset -- a journey that marries legacy with innovation and is inspired by a clear and purposeful vision," said its CEO Vinod Bahety , while addressing the shareholders. This is a story of "resilience fuelled by a growth mindset" and is inspired by a clear and purposeful vision and testament to the focused execution, agility, and ambition that define our transformation. "A key catalyst behind this success has been our series of efficient and timely acquisitions, each completed with precision and synergy. Alongside inorganic growth, our organic expansion projects continue to gain strong momentum across the country, bringing us closer to our ambitious long-term target of reaching 140 MTPA by 2028," he said. In FY24, Ambuja crossed the milestone of 100 million tonnes per annum (MTPA) of consolidated cement capacity, becoming the ninth largest cement company globally. Adani Group is a new entrant in the cement sector. It jumped into the cement sector in September 2022, after acquiring controlling stakes in Ambuja Cement from Swiss firm Holcim for cash proceeds of USD 6.4 billion (about Rs 51,000 crore). Later, Ambuja Cements, which owns a 51 per cent stake in ACC Ltd, pursued inorganic growth, acquiring small companies as Hyderabad-based Penna Cement and Saurastra-based Sanghi Industries. Earlier this year, it also acquired Orient Cement from CK Birla group. "Having achieved nearly 50 per cent growth in just 30 months, our roadmap is clear: reaching 118 MTPA by FY26 and 140 MTPA by FY28, primarily through brownfield expansion projects," it said. In FY26, Ambuja Cement has target of commissioning clinker and grinding units across strategic locations such as Bhatapara, Sankrail, Sindri, Salai-Banwa, Dahej, Marwar, Kalamboli, Krishnapatanam, Bathinda, Jodhpur, Maratha, and Warisaliganj. "These projects are progressing well, with significant civil and equipment work underway," he said, adding, "Looking beyond FY26, nine additional grinding unit projects are already underway, all aligned with our vision to reach 140 MTPA by FY 2028." In FY25, Adani group's annual sales volume reached 65.2 million tonnes and its revenue stood at Rs 35,045 crore with a profit after tax of Rs 5,158 crore. "Our strong balance sheet, marked by a debt-free status, underscores our prudent capital allocation and financial discipline," said Bahety. Besides, Ambuja Cement is also working on cost optimisation, which according to Bahety remains a cornerstone of our strategy, enabling it to maintain competitiveness and enhance margins amid challenging market conditions. The company has substantially reduced its logistics cost through setups such as seaborne transport. According to Cement Manufacturers' Association, the logistics costs for the industry can go as high as 30-35 per cent. "By shifting a significant portion of our freight to seaborne transport, optimising depot locations, and leveraging GPWIS (General Purpose Wagon Inward System) and BCFC (Bulk Cement Freight Consortium) rakes, we have achieved a 6 per cent reduction in logistics costs to date," he said, adding, "Our ongoing initiatives aim for a further 15 per cent reduction in logistics costs by FY30, reflecting our continuous drive for operational efficiency." Besides, it aims for 60 per cent of its future cement capacity and 83 per cent of clinker operations to be powered by green energy. The company is also quite bullish about the growth prospects of the Indian cement industry, where its expects a "significant" growth, driven by infrastructure projects and urban development. "Installed capacity is expected to reach 850 million tonnes per annum by 2030 and 1,350 million tonnes by 2050," it said. The Indian cement market is led by Aditya Birla Group firm UltraTech Cement Ltd, which has a consolidated capacity of 183.06 MTPA. It is also expanding its capacity through acquisitions and capacity enhancement as it faces competition from billionaire Gautam Adani-led Adani Group's Ambuja Cement. It has recently acquired India Cements, Kesoram Industries' cement business and UAE-based RAKWCT. Besides, it acquired a minority stake of 8.69 per cent from the promoters of Meghalaya-based Star Cement.
NDTV
a day ago
- Business
- NDTV
Adani Group's Cement Business Contributes To 30% Of India's Homes: Ambuja Cement CEO
New Delhi: Adani Group firm Ambuja Cements -- the second largest cement producer in the country -- contributes to nearly 30 per cent of the cement used for India's homes and infrastructure, the company said in its latest annual report. Ambuja Cements, which has crossed 100 MTPA (Million Tonnes Per Annum) capacity in FY25 in a record time, mainly through acquisitions, now aims to reach 118 MTPA by FY 2026 and 140 MTPA by FY 2028, primarily through brownfield expansion projects. "Ambuja Cements, now a core part of the Adani Group's cement business, contributes to nearly 30 per cent of India's homes and infrastructure. This is a story of resilience fuelled by a growth mindset -- a journey that marries legacy with innovation and is inspired by a clear and purposeful vision," said its CEO Vinod Bahety, while addressing the shareholders. This is a story of "resilience fuelled by a growth mindset" and is inspired by a clear and purposeful vision and testament to the focused execution, agility, and ambition that define our transformation. "A key catalyst behind this success has been our series of efficient and timely acquisitions, each completed with precision and synergy. Alongside inorganic growth, our organic expansion projects continue to gain strong momentum across the country, bringing us closer to our ambitious long-term target of reaching 140 MTPA by 2028," he said. In FY24, Ambuja crossed the milestone of 100 million tonnes per annum (MTPA) of consolidated cement capacity, becoming the ninth largest cement company globally. Adani Group is a new entrant in the cement sector. It jumped into the cement sector in September 2022, after acquiring controlling stakes in Ambuja Cement from Swiss firm Holcim for cash proceeds of USD 6.4 billion (about Rs 51,000 crore). Later, Ambuja Cements, which owns a 51 per cent stake in ACC Ltd, pursued inorganic growth, acquiring small companies as Hyderabad-based Penna Cement and Saurastra-based Sanghi Industries. Earlier this year, it also acquired Orient Cement from CK Birla group. "Having achieved nearly 50 per cent growth in just 30 months, our roadmap is clear: reaching 118 MTPA by FY26 and 140 MTPA by FY28, primarily through brownfield expansion projects," it said. In FY26, Ambuja Cement has target of commissioning clinker and grinding units across strategic locations such as Bhatapara, Sankrail, Sindri, Salai-Banwa, Dahej, Marwar, Kalamboli, Krishnapatanam, Bathinda, Jodhpur, Maratha, and Warisaliganj. "These projects are progressing well, with significant civil and equipment work underway," he said, adding, "Looking beyond FY26, nine additional grinding unit projects are already underway, all aligned with our vision to reach 140 MTPA by FY 2028." In FY25, Adani group's annual sales volume reached 65.2 million tonnes and its revenue stood at Rs 35,045 crore with a profit after tax of Rs 5,158 crore. "Our strong balance sheet, marked by a debt-free status, underscores our prudent capital allocation and financial discipline," said Bahety. Besides, Ambuja Cement is also working on cost optimisation, which according to Bahety remains a cornerstone of our strategy, enabling it to maintain competitiveness and enhance margins amid challenging market conditions. The company has substantially reduced its logistics cost through setups such as seaborne transport. According to Cement Manufacturers' Association, the logistics costs for the industry can go as high as 30-35 per cent. "By shifting a significant portion of our freight to seaborne transport, optimising depot locations, and leveraging GPWIS (General Purpose Wagon Inward System) and BCFC (Bulk Cement Freight Consortium) rakes, we have achieved a 6 per cent reduction in logistics costs to date," he said, adding, "Our ongoing initiatives aim for a further 15 per cent reduction in logistics costs by FY30, reflecting our continuous drive for operational efficiency." Besides, it aims for 60 per cent of its future cement capacity and 83 per cent of clinker operations to be powered by green energy. The company is also quite bullish about the growth prospects of the Indian cement industry, where its expects a "significant" growth, driven by infrastructure projects and urban development. "Installed capacity is expected to reach 850 million tonnes per annum by 2030 and 1,350 million tonnes by 2050," it said. The Indian cement market is led by Aditya Birla Group firm UltraTech Cement Ltd, which has a consolidated capacity of 183.06 MTPA. It is also expanding its capacity through acquisitions and capacity enhancement as it faces competition from billionaire Gautam Adani-led Adani Group's Ambuja Cement. It has recently acquired India Cements, Kesoram Industries' cement business and UAE-based RAKWCT. Besides, it acquired a minority stake of 8.69 per cent from the promoters of Meghalaya-based Star Cement.
Yahoo
20-05-2025
- Automotive
- Yahoo
Jupiter Wagons Ltd (BOM:533272) Q4 2025 Earnings Call Highlights: Strong Financial Performance ...
Total Income (Stand-alone): INR3,905 crore, growth of 6.6% year on year. EBITDA (Stand-alone): INR548 crore, increased by 11.6% year on year. EBITDA Margin (Stand-alone): 14.2%, up from 13.5% last year. Profit After Tax (Stand-alone): INR373 crore, increased by 12% year on year. PAT Margin (Stand-alone): 9.6%. Total Income (Consolidated): INR4,008 crore, growth of 9.3% year on year. EBITDA (Consolidated): INR578 crore, increased by 18% year on year. EBITDA Margin (Consolidated): 14.6%. Profit After Tax (Consolidated): INR380 crore, increased by 15% year on year. Order from Ambuja Cement and ACC Limited: INR600 crore for BCFCM rake wagons. Order from Braithwaite & Company: INR255 crore. Brake Systems Orders: INR65 crore for brake disc and INR150 crore for passenger segment grade systems. Odisha Project Investment: INR2,500 crore, with financial closure achieved. Odisha Project Funding Structure: 35% equity and 65% debt. Warning! GuruFocus has detected 3 Warning Signs with BOM:533272. Release Date: May 19, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Jupiter Wagons Ltd (BOM:533272) reported a solid financial performance for FY25 with a 6.6% year-on-year growth in total income on a stand-alone basis. The company successfully increased its EBITDA margin to 14.2%, up from 13.5% the previous year, maintaining industry-leading margins. Jupiter Wagons Ltd launched commercial production of the JEM TEZ e-LCV, marking its entry into India's electric logistics segment. The company secured significant orders, including a INR600 crore order from Ambuja Cement and ACC Limited for BCFCM rake wagons. The Odisha project, a major expansion initiative, has achieved financial closure and is expected to significantly contribute to future revenue growth. The company faced constraints in wheel availability, impacting Q4 execution and potentially affecting future production targets. There is uncertainty regarding the regularization of wheel supplies from Indian Railways, which could impact wagon manufacturing targets for FY26. The e-LCV segment is still in its early stages, with the company targeting to achieve sales of 100 vehicles per month, which may take time to materialize. The company is facing challenges in its joint venture with DAKO, which has been posting losses due to localization efforts. There was a temporary closure of a facility due to labor unrest, although it has since been resolved. Q: Is the constraint on wheels easing out as we enter FY26, and how did it impact Q4 execution? A: Vivek Lohia, Managing Director: The availability of wheels was constrained in Q4 and Q1 of this financial year. However, the railway is expected to regularize supplies by mid-next month, which should stabilize the situation. We have been focusing on executing our private order books, leveraging our subsidiary, Jupiter Tatravagonka, to supply the necessary components. Q: What kind of wagon manufacturing can be expected in FY26? A: Vivek Lohia, Managing Director: We have set a target to manufacture about 10,000 wagons in FY26. We are confident in achieving this, provided the railway regularizes the supply of wheel sets by mid-June. If the wheel set situation deteriorates, there might be a revision in our execution plans. Q: How is the industry or Indian Railways addressing the infrastructure issue related to wheel set shortages? A: Vivek Lohia, Managing Director: Investments are being made in the private sector to set up wheel manufacturing capacities. We are investing in a wheel manufacturing capacity for 100,000 wheels. Currently, India imports a significant portion of its wheel set requirements, and our project aims to fill this demand-supply gap. Q: What is the expected Return on Capital Employed (ROC) from the wheel set CapEx investment? A: Vivek Lohia, Managing Director: We expect an ROC of above 20% from the wheel set project, which is higher than our current ROC of approximately 17.5%. These projects typically have high ROC, and as exports increase, the ROC will improve further. Q: What is the outlook for FY26, considering the challenges faced in FY25? A: Vivek Lohia, Managing Director: We are confident in achieving our targets for FY26, provided the wheel situation is rectified. We expect to double revenues in the wheel set and brake businesses. The e-LCV segment has received positive market feedback, and we aim to achieve sales of over 100 vehicles per month in the coming months. The battery business also looks promising with strong market demand. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
30-04-2025
- Business
- Time of India
Ambuja Cements shares jump 2% after Q4 PAT jumps 75% YoY. Should you buy, sell or hold?
Ambuja Cements shares jumped 2% to their day's high of Rs 545.70 on the BSE on Wednesday after the Adani Group company reported a 75% year-on-year (YoY) rise in standalone net profit to Rs 929 crore for the quarter ended March 2025. Meanwhile, consolidated revenue rose 12% YoY to Rs 9,872 crore. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Access all TV channels anywhere, anytime Techno Mag Undo However, on a standalone basis, the company reported a 75% YoY rise in standalone net profit to Rs 929 crore for the quarter ended March 2025. Revenue from operations for the same quarter rose 19% YoY to Rs 5,670 crore. Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. The company's EBITDA for Q4 stood at Rs 1,868 crore, up 10% YoY, with margins steady at 18.9%. EBITDA per tonne came in at Rs 1,001, excluding a one-time government grant from the previous quarter. Also Read: Ashish Kacholia adds 8 new stocks, hikes stakes in 4 firms in Q4 amid market correction Ambuja achieved its highest-ever quarterly sales volume at 18.7 million tonnes, up 13% YoY, driven by capacity expansion, improved market reach, and operational ramp-up of acquired assets such as Penna and Sanghi. For the full year, volume grew 10% YoY to 65.2 million tonnes. Live Events Also Read: 7 mainboard IPOs since 2021 that crashed up to 96% Should you buy, sell, or hold Ambuja Cement's stock? Here's what brokerages say: Nuvama Nuvama has maintained its 'Buy' rating on Ambuja Cement and raised the target price to Rs 694 from Rs 676. The brokerage highlighted that the company continues to outperform the industry in terms of volume, with sequential improvement in realisation. Ambuja's capex programme remains on track, supported by a healthy balance sheet. In Q4FY25, the company delivered approximately 13% year-on-year consolidated volume growth (~8% excluding acquisitions), while realisation improved by around 2.5% quarter-on-quarter. EBITDA per tonne stood at Rs 999, down 2.5% YoY but up 86% QoQ. Following the acquisition of Orient Cement, commissioning of the Farakka plant, and debottlenecking efforts, Ambuja's consolidated capacity has reached 100 million tonnes (MnT). The company is targeting a capacity of 118 MnT by FY26E and 140 MnT by FY28E. Nuvama noted that estimates have been recalibrated to reflect stronger volume and pricing assumptions. InCred Equities InCred Equities has retained its 'Add' rating on Ambuja Cement but revised its target price downward to Rs 620 from Rs 630. The brokerage noted that profitability continues to be supported by cost synergies and pricing, with organic volume growth broadly in line with industry trends. Consolidated EBITDA for the March quarter was Rs 18.7 billion, up 10% YoY, driven by lower-than-expected fixed costs. Blended EBITDA per tonne rose Rs 462 sequentially to Rs 1,001, exceeding estimates of Rs 810. Ambuja plans to invest around Rs 90 billion in capex in FY26F, with about 70% of that earmarked for growth. InCred maintained its EBITDA forecasts for FY26 and FY27. Also Read: Paras Defence, Bharat Dynamics among 4 defence stocks where FIIs raised their stake in Q4
India.com
23-04-2025
- Business
- India.com
Gautam Adani's masterstroke, Ambuja Cements acquires…, big challenge for Kumar Mangalam Birla's…
Ambuja Cement, a company under the Adani Group, has successfully completed the acquisition of a 37.8% stake in Orient Cement Limited (OCL), a CK Birla Group company. After this acquisition, Ambuja Cement, owned by the Adani Group, has become the promoter of OCL. In addition to the promoter group's shares, Ambuja Cement has also acquired 1.82 crore (8.87%) shares from public shareholders of OCL. This brings Ambuja Cement's total stake in OCL to 46.66%. Orient Cement's On Deal Orient Cement informed the stock exchange that Ambuja Cement has completed the acquisition of 7,76,49,413 equity shares (37.79% of the equity share capital) from the promoter group. Ambuja Cement had announced its intent to acquire OCL last October as part of its expansion strategy, valuing the deal at Rs 8,100 crore. Orient Cement operates three manufacturing plants located in Telangana, Karnataka, and Maharashtra. Following change in the ownership, OCL also announced the resignation of its directors – Chandrakant Birla, Amita Birla, and Desh Deepak Khetrapal. Besides, OCL's four independent directors have also resigned. Its CFO, Prakash Chand Jain, has been replaced by Kajal Sarda with effect from April 23, 2025. The board led by the new promoter has appointed Vaibhav Dixit as Executive Director. It has also appointed Vinod Bahety as Chairman & Non-Executive Non-Independent Director with effect from the conclusion of the meeting on April 22, 2025. Besides, three independent directors — Sudhir Nanavati, Shruti Shah and Ravi Kapoor — also appointed on the board. OCL further said, 'Appointment of the Executive Director, Non-Executive Non-Independent Director and Non-Executive Independent Directors, as stated above, will be subject to the approval of the shareholders of the Company.' The Adani group aspires to have 140 MTPA (million tonnes per annum) capacity by FY28 pan-India, which will help reduce overall lead distances and logistics costs for the cement business and improving market share in its core markets. Earlier in June 2024 Adani had announced the acquisition of Hyderabad-based Penna Cement at an enterprise value of Rs 10,422 crore, which added 14 MTPA capacity to the country's second largest manufacturer. In December last year, it completed the acquisition of Saurashtra-based Sanghi Industries Ltd, at an enterprise value of Rs 5,185 crore. OCL has 5.6 MTPA clinker capacity and 8.5 MTPA cement capacity along with statutory clearance to increase the clinker capacity by another 6.0 MTPA and cement capacity by another 8.1 MTPA. Adani Group entered into the cement sector in September 2022, after acquiring controlling stakes in Ambuja Cements from Swiss firm Holcim for cash proceeds of USD 6.4 billion (about Rs 51,000 crore). Ambuja Cements owns a 51 per cent stake in ACC Ltd. Later it also launched a Rs 31,000 crore open offer for the acquisition of 26 per cent additional stakes from public shareholders. The Indian cement market is led by Aditya Birla Group firm UltraTech Cement Ltd, which has a consolidated capacity of 183.06 MTPA. Kumar Mangalam Birla is the Chairman of UltraTech Cement , the cement flagship company of Aditya Birla Group. New acquisition by Adani will create a big challenge for Birla's cement company. (With Inputs From PTI)
