Ambuja Cements Q2 FY27 Results: Share Price Reacts After 28% EBITDA Decline And A 90% Fall In Reported Profit

Ambuja Cements Limited reported consolidated revenue from operations of ₹9,197 crore for the quarter ended 30 September 2026. This is an increase of 0.2% from ₹9,175 crore in the year-ago quarter. However, earnings before interest, tax, depreciation and amortisation (EBITDA) fell 28% year on year (YoY) to ₹1,271 crore from ₹1,762 crore. This reflects continued pressure on operating profitability.

The company released its Q2 results via a regulatory filing to the stock exchanges dated 29 October 2026.

On the reported date, the Ambuja Cements share price closed at ₹354.70 on the National Stock Exchange (NSE), up 1% from the previous close of ₹351.20. The stock opened at ₹352, touched an intraday high of ₹361.95 and a low of ₹349.

Ambuja Cements Q2 Results Show Margin Pressure

The company’s EBITDA margin contracted to 13.8% from 19.2% in Q2 FY26. Reported profit after tax (PAT) fell 90% to ₹236 crore from ₹2,336 crore, while normalised PAT declined 54% to ₹300 crore from ₹652 crore.

The presentation’s reconciliation shows that the year-earlier period included a reversal of income-tax provisions of ₹ 1,697 crore, which affects the comparison.

The presentation attributed ₹376 crore of the ₹490 crore YoY EBITDA decline to geopolitical issues. Price impact accounted for ₹80 crore, volume impact for ₹18 crore and higher maintenance costs for ₹17 crore.

Higher Fuel And Logistics Costs

Cement sales volume was 16.5 million tonnes (MnT), down 1% YoY. Net selling price (NSP) eased to ₹255 per bag from ₹258 a year earlier, while cement cost increased to ₹4,410 per tonne from ₹4,155.

EBITDA per tonne fell 27% to ₹770 from ₹1,061. Several margin headwinds were noted in the investor presentation. These include higher petcoke and coal prices, limited coal availability, and rising diesel and packaging expenses.

Despite the cost headwinds, the company reported progress on capacity expansion. It added 4.6 million tonnes per annum (MTPA) of cement capacity during the quarter, taking total capacity to 113.5 MTPA. A further 5.6 MTPA is in the pipeline for the second half of FY27, including capacity being ramped up and new commissioning.

Ambuja Cements Targets Further Cost Reduction

The company’s presentation sets a cost target of around ₹4,250 per tonne for FY27 and ₹4,000 per tonne for FY28. It also expects volumes to grow ahead of the industry in the second half of FY27, supported by a calibrated expansion strategy.

These targets will be important to watch as the company works to improve margins amid elevated energy and logistics costs.

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