Ambuja Cements Completes Merger with Adani Cementation, Strengthening Market Position

1 min read     Updated on 01 Aug 2025, 10:10 PM
scanxBy ScanX News Team
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Overview

Ambuja Cements Limited has successfully merged with Adani Cementation Limited, effective August 1, 2025. The amalgamation, sanctioned by NCLT Ahmedabad on July 18, 2025, is retroactively applied from April 1, 2024. Ambuja Cements has informed relevant stock exchanges of the merger completion. The company also approved its Unaudited Financial Results for Q2 2025 and published extracts in the Financial Express newspaper.

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*this image is generated using AI for illustrative purposes only.

Ambuja Cements Limited, a major player in the Indian cement industry, has announced the successful completion of its merger with Adani Cementation Limited. The amalgamation, which became effective on August 1, 2025, marks a significant milestone in the company's growth strategy and is expected to enhance its market presence.

Merger Details

The scheme of amalgamation, sanctioned by the National Company Law Tribunal (NCLT), Ahmedabad Bench on July 18, 2025, has fulfilled all specified conditions. As a result, Adani Cementation Limited has been amalgamated with Ambuja Cements Limited and subsequently dissolved without winding up. The appointed date for the scheme was set as April 1, 2024, indicating that the financial consolidation would be retrospectively applied from this date.

Regulatory Compliance

In a filing to the stock exchanges, Ambuja Cements Limited stated, "All the conditions to make the Scheme effective, as specified under the Scheme, have been fulfilled." The company has ensured transparency by promptly informing the National Stock Exchange of India, BSE Limited, and the Luxembourg Stock Exchange, where its securities are listed.

Corporate Governance

Manish Mistry, Company Secretary & Compliance Officer of Ambuja Cements Limited, signed off on the regulatory filing, demonstrating the company's commitment to proper corporate governance and timely disclosure of material information to its stakeholders.

Financial Reporting

Coinciding with the merger announcement, Ambuja Cements also disclosed that its Board of Directors approved the Unaudited Financial Results for the quarter ended June 30, 2025, in a meeting held on July 31, 2025. The company has published extracts of its Consolidated Unaudited Financial Results in the Financial Express newspaper, in both English and Gujarati editions, adhering to SEBI Listing Regulations.

Looking Ahead

The merger between Ambuja Cements and Adani Cementation is expected to create synergies and potentially strengthen Ambuja's position in the competitive cement market. Stakeholders will be keenly watching how this strategic move translates into operational efficiencies and financial performance in the coming quarters.

Investors and industry observers are advised to monitor future announcements and financial reports from Ambuja Cements Limited to assess the impact of this merger on the company's market share and profitability.

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Ambuja Cements Reports Strong Q1 Performance with 20% Volume Growth and 53% EBITDA Surge

2 min read     Updated on 01 Aug 2025, 09:10 AM
scanxBy ScanX News Team
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Overview

Ambuja Cements achieved its highest quarterly sales volume of 18.4 million tonnes, a 20% year-on-year increase. Revenue crossed Rs 10,000 crore, reaching Rs 10,289.00 crore, up 23%. EBITDA grew 53% to Rs 1,961.00 crore, with margins improving to 19.1%. Profit after tax increased 24% to Rs 970.00 crore. The company's cement capacity stands at 104.5 MTPA, with plans to reach 118 MTPA by March 2026. Ambuja Cements remains debt-free with a net worth of Rs 66,436.00 crore.

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*this image is generated using AI for illustrative purposes only.

Ambuja Cements , part of the Adani Group and India's second-largest cement manufacturer, has reported robust financial results for the first quarter, demonstrating significant growth across key metrics.

Record-Breaking Sales and Revenue

The company achieved its highest quarterly sales volume of 18.4 million tonnes, marking a 20% year-on-year increase. This strong performance helped Ambuja Cements cross the Rs 10,000 crore revenue mark for the quarter, with total revenue reaching Rs 10,289.00 crore, up 23% compared to the same period last year.

Profitability Soars

Ambuja Cements reported its highest quarterly EBITDA at Rs 1,961.00 crore, representing a substantial 53% year-on-year growth. The EBITDA margin improved by 3.8 percentage points to reach 19.1%. EBITDA per tonne also saw a significant increase, rising 28% year-on-year to Rs 1,069.00.

Quarterly profit after tax (PAT) stood at Rs 970.00 crore, up 24% from the previous year, while earnings per share (EPS) increased by 22% to Rs 3.20.

Capacity Expansion and Operational Highlights

The company's current cement capacity stands at 104.5 MTPA, with plans to reach 118 MTPA by March 2026. During the quarter, Ambuja Cements commissioned 57 MW of wind power, bringing its total renewable energy capacity to 473 MW.

Strategic Initiatives

Ambuja Cements launched several strategic initiatives during the quarter:

  1. Adopted DIGIPIN for freight standardization and hyperlocal marketing.
  2. Introduced "NirmAAAnotsav" in partnership with CREDAI, with the first event held in Ahmedabad and plans for 20 other cities.
  3. Received approval from NCLT (Ahmedabad bench) on July 18, 2025, for the Scheme of Amalgamation of Adani Cementation Limited with Ambuja Cements Limited.

Market Recognition

The company was ranked as 'India's Most Trusted Cement Brand 2025' for the fourth consecutive year by TRA Research in its Brand Trust Report 2025.

Financial Position

Ambuja Cements maintains a strong financial position with a net worth of Rs 66,436.00 crore and continues to remain debt-free. The company also holds the highest rating of Crisil AAA (stable) / Crisil A1+.

Management Commentary

Mr. Vinod Bahety, Whole Time Director & CEO of Ambuja Cements, commented on the results: "Our Q1 results are more than numbers - they reflect a vibrant mood, a transformation narrative rooted in speed, scale and sustainability. We are delivering with focus on value, business optimiser, solution focussed premium products, rejuvenated supply chain and superior brand pull across key markets aided by value unlocking from acquired assets."

Looking ahead, Mr. Bahety expressed confidence in sustaining this performance, stating that the company is well-positioned to lead the next phase of growth with a sustainable EBITDA of Rs 1,500.00 per tonne.

As Ambuja Cements continues to expand its capacity and focus on sustainable practices, it remains a key player in India's infrastructure development and construction sector.

Historical Stock Returns for Ambuja Cements

1 Day5 Days1 Month6 Months1 Year5 Years
+2.57%-0.84%+4.77%+21.23%-8.44%+174.90%
Ambuja Cements
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