ACC Reports Resilient Q1 FY27 Results, Eyes Growth from Capacity Expansion and One Cement Platform

ACC Ltd, a part of the Adani Group, has reported a resilient performance for the first quarter of FY27, driven by higher trade volumes and continued premiumisation. The company expressed confidence in improved operational performance in the coming quarters, supported by capacity expansion, cost optimisation, and the proposed One Cement Platform.

For the April-June quarter (Q1 FY27), ACC's consolidated revenue from operations stood at Rs 5,808 crore. Operating EBITDA was Rs 457 crore, with a margin of 7.9 per cent. Profit after tax (PAT) came in at Rs 147 crore.

Cement sales volume during the quarter reached 10 million tonnes. The share of trade sales rose five percentage points year-on-year to 81 per cent. Premium products accounted for 44 per cent of trade sales, up three percentage points from a year ago.

Commenting on the performance, ACC Whole-Time Director and CEO Vinod Bahety said the company delivered a resilient quarter despite the impact of planned maintenance at larger integrated plants and higher material supply agreement (MSA) volumes with parent company Ambuja Cements. "We have commenced FY27 with a resilient performance, driven by a higher share of trade volumes and continued premiumisation. We continued to prioritise value-led growth and quality earnings during the quarter," he said.

Bahety added that the company expects better performance in the coming quarters, supported by the proposed One Cement Platform, strategic capacity additions, and operational efficiencies driven by the group's digital initiatives.

On the capacity expansion front, trial runs have commenced at its 2.4 MTPA grinding unit at Salai Banwa in Uttar Pradesh. The Kalamboli expansion in Maharashtra is expected to add 1 MTPA capacity during the September quarter of FY27.

Regarding the proposed amalgamation with Ambuja Cements, ACC said it has received SEBI's no-objection certificate and has filed an application with the National Company Law Tribunal (NCLT). The transaction is expected to be completed during FY27, subject to regulatory approvals.

The company also achieved marginal sequential cost reduction during the quarter through focused cost optimisation initiatives despite headwinds arising from the West Asia conflict. At the consolidated Adani Cement level, the group remains committed to delivering around Rs 250 per metric tonne (PMT) cost reductions during FY27.

On the sustainability front, ACC increased the share of green power in its operations to 31 per cent during the quarter from 26 per cent a year ago. The company also received the Confederation of Indian Industry's GreenPro certification for its blended cement portfolio and GRIHA certification for its B2B and B2C blended cement products.