Ambuja Cements Ltd announced that cement production for the quarter ended 30th June was 5.20 million tonnes, lower by 5.6% compared to 5.51 million tonnes for the same quarter last year. Clinker production went up by 12% from 3.72 million tonnes to 4.16 million tonnes on account of two new kilns commissioned in the first quarter of last year.

Overall sales volume decreased by 2.2% from 5.41 million tones to 5.29 million tonnes. Domestic cement sales volumes at 5.1 million tonnes were lower by 2.4% compared to last year. Cement exports were 92 thousand tonnes compared to 142 thousand tonnes last year. Clinker sales volumes were at 127 thousand tonnes compared to 71 thousand in same quarter last year. Net sales were 6% higher at INR 2173 crore.

Operating cost increased substantially during the quarter driven by increase in raw material cost as well as power & fuel cost driven by sharp rise in coal prices and higher grid power tariff. The mitigating measures taken in terms of substitution of purchased clinker with produced clinker, improvement in thermal/electrical efficiencies and improvement in realization were able to only partly negate the steep increase in input cost. EBITDA fell by 7.1% from INR 644 crore to INR 598 crore.