How Did ACC's Net Profit Increase by 4.35% to Rs 375 Crore?

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How Did ACC's Net Profit Increase by 4.35% to Rs 375 Crore?

Synopsis

ACC Limited has reported impressive quarterly results, with a net profit increase of 4.35% and a revenue surge of 18%. This performance highlights the company's effective strategies and operational efficiencies that are driving growth in a competitive market.

Key Takeaways

  • ACC's net profit rose by 4.35%.
  • Revenue increased by 18%, reaching Rs 6,036.11 crore.
  • EBITDA grew by 22.6% to Rs 727 crore.
  • The company achieved its highest first-quarter sales volume of 11.5 million tonnes.
  • Strong performance reflects effective operational strategies.

Mumbai, July 24 (NationPress) ACC Limited, a member of the Adani Group, announced a 4.35% year-on-year increase in its consolidated net profit, amounting to Rs 375.42 crore for the April-June quarter of the financial year 2025-26 (Q1 FY26), compared to Rs 359.74 crore in the same quarter last year (Q1 FY25).

The company experienced robust growth, with consolidated revenue soaring by 18% to Rs 6,036.11 crore in the June 2025 quarter, up from Rs 5,113.05 crore in Q1 FY25, as per its stock exchange announcement.

ACC's earnings before interest, taxes, depreciation, and amortisation (EBITDA) reached Rs 727 crore for the quarter, marking a 22.6% year-on-year growth.

The EBITDA margin improved to 12.1%, compared to 11.6% a year earlier, reflecting enhanced operational efficiency.

Total expenses for the quarter rose to Rs 5,594.25 crore, an increase from Rs 4,787.69 crore in the corresponding period last year, according to its regulatory filing.

During the June quarter, ACC achieved its highest-ever first-quarter sales volume of 11.5 million tonnes, a 12% increase from the same period last year.

Revenue from the cement business surged by 16.7% to Rs 5,714.95 crore.

Revenue from the ready-mix concrete segment also increased by 26.67% to Rs 416.28 crore during the quarter.

ACC reported good sales growth, improved operational efficiency, and strong cost control.

The company effectively managed its capital expenditures, enhancing its position as a cost-efficient player in the sector.

Vinod Bahety, Whole-Time Director and CEO of ACC, stated that the company's strong Q1 performance reflects the success of its strategy, which emphasizes premium product sales, operational improvements, and cost leadership.

He added, "The consistent growth in volumes, efficiency improvements, and digital transformation initiatives are allowing us to provide greater value to our customers and stakeholders."

Point of View

I observe that ACC's solid quarterly performance showcases the company's adeptness in navigating market complexities. Their focus on premium products and cost efficiency positions them favorably in the industry. Such results not only benefit stakeholders but also signify resilience amidst economic fluctuations.
NationPress
25/07/2025

Frequently Asked Questions

What is ACC's net profit for Q1 FY26?
ACC's net profit for Q1 FY26 is Rs 375.42 crore, reflecting a 4.35% increase from the previous year.
How much did ACC's revenue increase?
ACC's revenue increased by 18% to reach Rs 6,036.11 crore in Q1 FY26.
What is ACC's EBITDA for the quarter?
ACC's EBITDA for the quarter is Rs 727 crore, showing a year-on-year growth of 22.6%.
What factors contributed to ACC's growth?
ACC's growth is attributed to strong sales, improved operational efficiency, and effective cost management.
Who is the CEO of ACC?
The CEO of ACC is Vinod Bahety, who emphasizes the company's strategy of premium product sales and operational improvements.