Ambuja Cement Q3 Results: Adaani Group’s company Ambuja Cement has released the results of the third quarter of FY25 on 30 January today. The company’s profits in the October-December quarter have made a great jump of 242 per cent. During this period, the company’s standalone net profit increased by 3 times to Rs 1758 crore. The company earned a net profit of Rs 514 crore in the same period of a year ago. Despite this boom in profit, the company’s shares are currently trading at a price of Rs 503.55 with a decline of 3.57 per cent.
Quarterly results of Ambuja Cement
Volume growth was 17 per cent better on annual base (YOY), yet Ambuja cement margin performance was weak. After adjusting some tax provision, the Ebitda of Ambuja Cement declined by 50 per cent to ₹ 890 crore. The main reason for this was weak realizations and per ton of higher operating experience.
The management said that the acquired capabilities of Penna and Sanghi are promoting volume growth, but given the low use of these capabilities and their southern exposure, the cost is high and the receipts are high. The firm’s Ebitda declined by 56 per cent to Rs 537 per tonne, while Motilal Oswal had estimated Rs 848 per tonne.
Brokerage opinion on Ambuja Cement
JM Financial said, “Gradually reduction in cost structure and improvement in profitability will be important for the performance of stock. Therefore, we hope that the stock will remain in limited range in the near period. However, the company’s strong market situation, the entire India all over India Given the presence in the attendance and the leading volume growth in the industry, we maintain the recommendation of ‘Buy’ on the stock. “
Nuvama institutional equities Increased the rating of the stock from ‘hold’ to ‘BUY’ and fixed the new target price ₹ 676 per share. Brokerage said, “The decline of stock in stock in the last quarter and the company’s growth prospects has made its valuation attractive.”
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