ACC Q1 FY27 Results (NSE: ACC)
Signal: Revenue declined
The read
ACC's Q1FY27 results mark a sharp deterioration: revenue fell 8.2% YoY, EBITDA margin compressed 460bps to 8.8% (a five-quarter low), and PAT plunged 60.8%. The cement segment (98% of segment PBIT) halved, while other income (₹53 Cr) provided 27% of pre-tax profit. A ₹3,900 Cr ICD to parent Ambuja Cements and temporary suspension of plants raise governance and operational concerns.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹5,808 Cr | -8.2% | -18.7% |
| EBIT | ₹249 Cr | -58.0% | |
| Net profit | ₹147 Cr | -60.8% | |
| EPS | ₹7.83 | -60.8% | |
| EBIT margin | 8.8% |
P&L walk
Revenue declined 8.2% YoY, with EBITDA margin slumping 460bps to 8.8% as input cost ratio rose; PAT fell 60.8% YoY despite other income contributing 27% of PBT.
Segments
Cement segment PBIT halved YoY to ₹193 Cr (from ₹373 Cr), dragging consolidated profit; RMC segment modestly grew revenue 20% YoY but small base.
Key positives
- Ready-mix concrete revenue grew 20.4% YoY, indicating diversification progress.
- Freight cost as % of revenue improved to 18.0% from 18.7% sequentially.
Key concerns
- Revenue declined 8.2% YoY for the second consecutive quarter, signaling weak demand.
- EBITDA margin at 8.8% is the lowest in the current data series (down 460bps YoY).
- Other income contributed 26.8% of PBT, masking operating weakness.
- Exceptional VSS cost of ₹24 Cr and temporary plant suspensions suggest restructuring pains.
- ₹3,900 Cr ICD to parent Ambuja Cements raises related-party exposure and cash flow concerns.
Earnings quality: includes non-operating other income
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