Ambuja Cements Sees Profit Dip Amidst Strategic Acquisitions

Ambuja Cements, part of the Adani Group, reported a consolidated net profit of Rs 472.89 crore in the second quarter of 2024, compared to Rs 987.24 crore a year earlier. The financial results are not directly comparable due to new acquisitions, including Penna Cement and Asian Concretes.

On Monday, Ambuja Cements Ltd, an Adani Group entity, disclosed a consolidated net profit of Rs 472.89 crore for the second quarter ending September 2024. This marks a significant decrease from the Rs 987.24 crore profit recorded during the same period last year, as per the company's regulatory filing.

The revenue from operations for Ambuja Cements in the September quarter reached Rs 7,516.11 crore, a slight increase from Rs 7,423.95 crore in the previous fiscal's corresponding period. The results factor in the acquisition of Penna Cement and Asian Concretes and Cements Ltd by its subsidiary ACC, making them non-comparable to previous periods.

Despite the acquisition costs accounting for substantial expenses totalling Rs 7,023.49 crore, the total income stood at Rs 7,890.14 crore with standalone profits at Rs 500.66 crore, down from Rs 643.84 crore in the same quarter last year. Ambuja's shares rose by 4.27 per cent to Rs 577 on the BSE.

(With inputs from agencies.)