ACC Q4 profit drops 20% to ₹751 cr on higher expenses; revenue rises 13%

Adani Group's cement and building materials unit ACC Ltd recorded January–March quarter profit at ₹751 crore, down 20.39% from ₹943.34 crore in the same quarter last year, primarily due to higher expenses outweighing rising sales volumes during the quarter. The company's revenue, however, surged to ₹5,991.67 crore YoY from ₹5,316.75 crore in the year-ago period.

The operating EBITDA for the quarter stood at ₹830 crore, while EBITDA margin was at 13.7%. Cash & cash equivalents came in at ₹3,593 crore, with the highest-ever net worth at ₹18,559 crore, up by ₹2,227 crore during the year.

Sales volume for cement and clinker came in at 11.9 million tonnes in Q4 FY25, up from 10.5 MT in the year-ago period. The earnings per share were recorded at ₹39.9 compared to ₹50.1 in the year-ago period.

For the full fiscal year, ACC income grew 42% YoY to ₹24,447 crore, its highest ever, primarily due to capacity expansion initiatives including the commissioning of new grinding units supported by debottlenecking and modernisation. PAT zoomed 3% YoY to an all-time high of ₹2,427 crore on the highest-ever annual volume of 42.2 million tonnes, up by 14% YoY.

Vinod Bahety, Whole Time Director & CEO, ACC, said, “As we conclude this FY, ACC stands stronger, more agile and future-ready. This year has been marked by strategic milestones that reinforce our position as a leader in the Indian cement industry. Our capacity expansion initiatives including the commissioning of new grinding units supported by debottlenecking and modernisation, are aligned with growing infrastructure and booming demand of the nation."

The ACC Board of Directors has recommended a dividend on equity shares at ₹7.50 per share, consistent with last year.

In its outlook, ACC says cement consumption grew by 8% during Q4 FY25, marginally higher compared to 7% in the previous quarter. The increase in demand was driven by a pick-up in construction activities, improvement in rural demand, traction in the real estate sector, and increased government spending on infrastructure and construction activities.

As per the growth trends observed in Q3 and Q4 FY25, it is projected that cement demand during FY26 will continue to benefit from the momentum gained by government spending on infrastructure and construction activities.

Keeping these trends in mind, the growth is anticipated to range between 7% to 8% for the coming fiscal, driven by ongoing consumption demand in the housing and infrastructure segments, as well as the favourable impact of the pro-infra and housing Budget 2025.

The ACC shares closed 0.64% up at ₹2,065 on the BSE.