Ambuja Cements Q4 Results Review - Weak Realisation Hurts; Focus Remains On Cost Control: Motilal Oswal

"NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Ambuja Cements Ltd.’s standalone Ebitda was up 1% YoY to Rs 8.0 billion (versus estimate of Rs 9.3 billion). Ebitda/tonne came in at Rs 837 (estimate Rs 1,038) and operating profit margin stood at 16.7% (versus estimate 19.8%). Profit after tax (adjusted for loss on the sale of Sanghi’s share in open market) was Rs 5.4 billion (versus estimate Rs 6.3 billion).Consolidated volume grew 17% YoY in Q4 FY24. Ebitda grew 37% YoY to Rs 17 billion and Ebitda/tonne was up ~17% YoY (down 17% QoQ) to Rs 1,025. Ambuja Cements targets further cost reduction by Rs 530/tonne to Rs 3650/t (at consolidated) by FY28 to become the cost leader in the industry. Its key focus areas would be logistics optimisation, reduction in energy and raw materials costs. It aims to commission clinker/grinding capacity of 4 mtpa/4.8 mtpa by Q4 FY25. We maintain our earnings estimate for FY25/FY26. Ambuja Cement trades at 19.6 times/ 16.8 times FY25E/FY26E EV/Ebitda (standalone). We maintain our Neutral rating on the stock as we await clarity on the expansion plans of the company..Click on the attachment to read the full report:.Ambuja Cements Q4 Results Review - Reiterating Confidence On Robust Outlook: Dolat Capital.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner."

Ambuja Cements Q4 Results Review - Weak Realisation Hurts; Focus Remains On Cost Control: Motilal Oswal

Targets capacity to increase to 100 mtpa/140 mtpa by FY26/FY28

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Ambuja Cements Q4 Results Review - Weak Realisation Hurts; Focus Remains On Cost Control: Motilal Oswal

Targets capacity to increase to 100 mtpa/140 mtpa by FY26/FY28

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