ACC Q1 Results: Revenue Comes In At Rs 5,808 Crore, Trade Share Rises To 81%

ACC Ltd. reported consolidated revenue of Rs 5,808 crore for the quarter ended June, supported by healthy sales volumes and an improved trade mix, even as higher fuel and logistics costs weighed on the cement industry.

The company reported quarterly sales volume of 10 million tonnes during the first quarter of fiscal 2027.

Trade sales continued to strengthen, with the trade share rising 5 percentage points year-on-year to 81%. The contribution of premium products within trade sales also improved by 3 percentage points to 44%, reflecting the company's continued focus on value-added products.

Operating Ebitda for the quarter stood at Rs 457 crore, aided by higher manufacturing and service agreement (MSA) volumes with Ambuja Cements.

ACC said the Indian cement industry faced significant cost pressures during the quarter due to higher imported fuel prices, particularly petcoke and thermal coal, as well as elevated freight and logistics costs stemming from geopolitical tensions in West Asia.

The company noted that, given the industry's typical fuel inventory cycle of 60-90 days, the full impact of peak fuel cost inflation is expected to coincide with the seasonally weaker second quarter, which could weigh on profitability across the sector.

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To counter these headwinds, ACC said it continues to focus on fuel mix optimisation, increasing renewable energy usage, improving logistics efficiencies, targeting higher-margin markets and maintaining disciplined cost management.

The company also said it achieved a marginal sequential reduction in costs during the quarter through focused cost optimisation initiatives despite the challenging operating environment.

Capacity Expansion Progresses

On the expansion front, ACC said trial runs have commenced at its 2.4 million tonnes per annum (MTPA) grinding unit at Salai Banwa in Uttar Pradesh.

Meanwhile, the Kalamboli expansion project in Maharashtra is on track to add 1 MTPA of cement grinding capacity during the September 2026 quarter.

Acquisition Update

The company said it has made further progress on the proposed amalgamation with Ambuja Cements under the Adani Group's "One Cement Platform" strategy.

ACC received the Securities and Exchange Board of India's no-objection certificate (NOC) for the proposed merger on June 4, 2026. Subsequently, an application was filed with the National Company Law Tribunal (NCLT) on June 29, 2026.

The company expects the transaction to be completed during fiscal 2027, subject to the necessary regulatory approvals.

(Disclaimer: New Delhi Television is a subsidiary of AMG Media Networks Limited, an Adani Group Company.)

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